Life insurance is one of the most effective tools you can use to protect the financial future of your loved ones. If you die, the funds from your policy can be used to pay for household expenses, medical bills, funeral costs, and outstanding debts. However, before purchasing coverage, make sure you’ve selected the right life insurance. There are two main options to choose from: term and whole life. Depending on your specific circumstances, one may work better for you than the other. Here’s what you need to know to make an informed decision. 

Term Life Insurance 

Term life insurance is easier to understand and generally the least expensive of the two options. When you buy a policy, it will be for a specified term, and you will pay a premium for that length of time to keep it active. If you pass away within the designated time frame, your beneficiary will receive the face value of the policy. If the term ends and you’re still alive, you can renew it.  

Whole Life Insurance 

Unlike term life insurance, a whole life policy doesn’t expire. As long as you pay your premium, it will provide protection for the rest of your life. These policies also build cash value over time and offer the opportunity to borrow money against the policy. Whole life insurance can cost substantially more than term life, especially if you opt to obtain coverage without undergoing a medical exam.

When comparing term and whole life policies, it’s best to start by identifying your needs and motivation behind buying life insurance. An experienced agent can further explain the pros and cons of each. For over 25 years, Michael E Glick Insurance has remained committed to providing clients with quality coverage at affordable prices. He has been entrusted to help numerous Boerne, TX, residents preserve the financial security of their loved ones. Call him at (830) 816-9488 to discuss purchasing a new policy or to set up a no-charge policy review. You can also visit him online for more information.