Is term life insurance right for you?

Term life insurance is generally one of the most affordable types of life insurance and is, therefore, also one of the most popular types of life insurance as well.

define: term life insurance
A type of life insurance in which coverage is provided for a specified period of time (a term). This differs from permanent (or whole) life insurance, which provides coverage for the insured’s whole life.

Term life insurance is relatively inexpensive because of the way it is structured. Term life insurance offers pure protection, much like a car insurance policy. Other types of life insurance, such as whole, can be used as an investment vehicle along with providing life coverage. With term life insurance, the insured simply pays for life coverage and then has the option to continue coverage (usually for a higher rate) once the term is up.

Whether or not term life insurance is a good choice depends on budget, the age of the insured and overall investment strategy.

Recommended reading: Whole vs. term life insurance