Options for Life Insurance

Most people think about life insurance when they are young and have a family to protect. But did you know there are different life insurance policies for different needs? Here we will discuss the two common types of life insurance policies: term and whole (or permanent). Each has unique benefits and disadvantages, so it is essential to understand which policy is best for you before purchasing.

What is Term Life Insurance?

Term life insurance is the most straightforward policy and provides coverage for a specific period, usually 10, 15, 20, or 30 years. This policy can be affordable and provide peace of mind should something happen to the insured during their specified term. However, once the term ends, the insured no longer has any coverage and must purchase a new policy if they still need life insurance.

What is Whole Life Insurance?

Whole life insurance is more permanent than term life and provides lifetime coverage if you continue to pay your premiums. It also accumulates cash value over time, which can be borrowed against or used for other purposes. The downside to this type of policy is that it has a much higher premium and may not be affordable for some people.

Which one is best for you?

Choosing the right insurance policy can be a difficult and daunting task. There are many factors to consider, but the recommended way to determine how much life insurance you or your family will need is to assess your income replacement. Knowing this number will help determine the coverage you need and which life insurance policy will benefit you the most.

No matter which type of life insurance policy you choose, it is essential to ensure that it provides the coverage you need. With the right insurance policy, you can provide financial security and peace of mind for yourself and your loved ones.

To ensure family and loved ones are taken care of, incorporate life insurance into an estate plan. Our Chicago area office welcomes the opportunity to help you with your planning session today – call us at 630-568-6656.

Camden Law Office

5330 S. Main Street

Suite 200

Downers Grove, IL 60515

www.camdenlawoffice.com