Life Insurance

Term Life

Term life policies provide coverage for a set length of time, typically between 10 - 30 years.  This policy only provides a payout to your beneficiaries if you die during the set term.  However, many providers will allow you to covert a term policy to permanent life insurance.

Universal Life

This is similiar to Whole Life insurance, as the coverage is permanent.  The key difference is that the premiums are flexible.  You can raise or lower the payment throughout your life, within the limits of the policy.  This allows more flexibility to the policyholder as their circumstances change over time.

Simplified or Guaranteed Issue

These policies are not subject to a medical exam, unlike traditional life insurance policies.  This can be favorable for older or higher risk applicants.  For a Simplified issue plan, you will be asked to fill out a health questionnaire.  Guaranteed issue is not subject to any medical information at all.  Expect to pay a higher premium with a lower payout due to the uncertainty on the part of the insurer.

Whole Life

This policy provides coverage throughout the entire length of your life - it does not expire.  A portion of your premium is placed into a Cash Value account, which grows over time and gains are not subject to taxes.  Premiums will be higher, but the coverage is guaranteed for life.

Group Life Insurance

These are life insurance plans purchased in bulk, usually by an employer as part of a benefits package.  These plans usually have lower premiums vs. individual plans, and might also be easier to qualify for.  The policy may be portable in some cases, allowing you to keep your coverage even if you leave that job.

Survivorship

This life insurance covers married couples together in one policy, generally used for estate planning purposes.  These policies can include long term care coverage for the insured(s).