Life Insurance: Your Options

Life Insurance: Your Options

Life Insurance: Your Options

Life insurance is an important part of keeping your family financially secure should the worst happen to you.

When it comes to life insurance, there are two big choices you must decide. There are many specific kinds of life insurance policies, but all of them nearly fall into two categories: term life insurance, and whole life (or permanent) insurance. Each offers their own unique benefits, and also include their own drawbacks which you should definitely consult when you are deciding what kind of life insurance policy you should purchase. Here is what you should know when it comes to your decision on which life insurance policy to purchase.

Term Life Insurance

As the name suggests, term life insurance is a policy that will last for a specific amount of time—usually 15, 20, or 30 years. The insurance part of the policy will only pay out if something is to happen to you before your policy is over. This coverage makes the most sense if you know you’re only going to need coverage until a specific point in time. Say, your children graduating college. Term life insurance is generally cheaper than whole life insurance which makes it the most popular policy.

Whole Life Insurance

As this name suggests, whole life insurance will last (wait, for it . . .) your whole life! As long as you pay your premiums and take out no loans, your death benefit check will be going to your beneficiaries, no matter how long ago you purchased the plan. Life insurance plans are typically more expensive than term life, but the payout is much greater.

Having the right life insurance policy can help to make sure you have the coverage you need to give your family less to worry about. Contact the experts at Employee Benefit Plans Inc. in Greenwood Village, Colorado for all of your insurance needs.