How do you know what type of life insurance policy is right for you? While the choice may not always be straightforward, some policies can lend themselves to certain life stages or specific goals better than others. The information below offers a simple breakdown of three general types of policies that BetterLife offers to help you consider what may be the most appropriate for your situation. Contact your insurance agent to learn more!
Term life insurance provides affordable coverage for a specified period of time. If protecting your family on a budget seems like an overwhelming task, term insurance may be an answer.
Whole life insurance is a type of permanent life insurance. Policies are designed to cover the insured for his or her entire lifetime.
Universal life insurance is a type of life insurance policy that offers adjustable premiums and an adjustable death benefit. It also has potential to build cash value. These features make it ideal for those who want a life insurance program that can change along with their needs. Because of its flexibility, universal life insurance can be a great tool for achieving a wide variety of financial goals.
Term Life Insurance
Universal Life Insurance
Whole Life Insurance
Intended Coverage Period
Specified period such as 15 or 20 years
Lifetime
Lifetime
Payment Structure
Fixed, level for selected term period
Flexible
Fixed, level
Death Benefit
Fixed, guaranteed for select term
Adjustable
Fixed, guaranteed for life
Riders Available
Yes
Yes
Yes
Cost (during intended coverage period)
Lowest
Typically moderate
Typically highest
Typically Pays Dividends
No
No
Yes
Cash Value
No
Yes
Yes
Ideal For:
Meeting a temporary need
Flexibility
Predictable, lifetime coverage