Term life insurance covers you for a fixed number of years — typically 10, 20, or 30. Premiums are level for the term, and if the insured passes away during the term, the death benefit is paid to beneficiaries. When the term ends, coverage ends unless the policy is renewed or converted under its provisions. Term policies are generally the most affordable type of life insurance per dollar of coverage, which is why they're popular with families covering specific obligations.

Whole life insurance is permanent coverage. Premiums stay level for life, the death benefit lasts as long as premiums are paid, and the policy builds cash value according to the contract — cash value you can borrow against or, in some cases, withdraw. Premiums are higher than term for the same death benefit because you're funding both protection and accumulation.

Term tends to fit when you have a defined period of need: years until the mortgage is paid off, until kids are independent, or until retirement assets are sufficient. Whole life tends to fit when the goal is permanent — covering final expenses no matter when they occur, leaving a legacy, or funding part of an estate plan.

Many families combine both: a larger term policy for the high-need years, with a smaller whole life policy that lasts for life. The right mix depends on your goals, budget, and other planning. A licensed agent can lay out scenarios so you can see the trade-offs side by side.

Articles current as of April 30, 2026

These articles provide general informational content only. They are not insurance, tax, legal, or financial advice. Specific policy terms, conditions, exclusions, and availability vary by carrier and state. Consult a licensed agent for guidance on your situation.

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