Is Term Life Insurance Better Than Whole Life Insurance?

Both term life and whole life insurance are common policies, widely spread across US. They have multiple similitudes, but also numerous differences. We understand that is hard to decide and checking online for advice might be a good solution. Unfortunately, you should stay away from flamed debates, where people argue if term life insurance is better than whole life insurance or not.

images3Visit websites that limit in offering definitions and information. Once you have found out the features of each policy, it is up to you to decide for which policy to apply.

Term Life insurance is a policy acquired for a predetermined period of time. Length of the policy ranges between 1 year and 30 years.  People older than 65 years rarely are accepted for term life insurance. It is considered a very cheap policy and it is, only if purchased for a short amount of time. Premiums are renewed periodically and they typically get more expensive.

There are rare cases when they get lower- only if you were cured by a disease or recovered from a severe accident.  Benefits are paid only if the insured dies while under coverage. It has no cash build component.  It is ideal for those that want protection until retirement or until their children become grownups.

Whole life insurance provides permanent protection and a guaranteed death benefit, if kept in force. Premiums will be kept at the same value for the whole length of the policy.  This is a major advantage for long term estate planning. In contrast with term life insurance, premiums start as pretty costly, but at least they will not get pricier. Furthermore, all benefits gained through whole life insurance are tax-deferred.  We recommend you to search for life insurance quotes for both policies and compare their prices.

Have a look on our website for more info and free quotes.  Visit our Homepage!