Life insurance is something everyone should have so your beneficiaries are able to have financial support in the case something unexpected happens to you. Understanding which policy is right for you and your loved ones’ needs is imperative, but it can be confusing to decipher the differences in policies. Term and whole are the two main types of life insurance to choose between. The team at JMS Insurance Agency in Stafford, TX explains the difference.

What Is Term Life Insurance?

Term life insurance provides death benefits only, meaning your beneficiaries will only receive benefits if you pass away during the term of the policy, which can be anywhere from 5-30 years. Many people select this option because it can be a bit more affordable and it grows in value as you get older. It’s important to know you can convert this term policy into a whole life policy in the future.

What Is Whole Life Insurance?

This type of coverage is for your entire life, whether you pass away tomorrow or in fifty years. To get whole life insurance, it takes a bit more legwork. Most people need to qualify with a health exam and it takes up to 15 years for it to attain value. While it’s a bit more expensive up front, the cash value will usually be higher than term life. You also don’t have to worry about renewing it. 

Which One Is Best for Me?

It’s best to speak to an insurance agent who can walk you through your wants and needs and overall financial goals. That can depend on your age, current debts, age and financial needs of your loved ones, and other assets you have in case something happens to you. Some people opt to have a little bit of both for extra coverage to build cash value and expand their portfolio.

If you’re looking to update your life insurance policy or want to get one to protect your loved ones, talk with the experts at JMS Insurance Agency LLC in Stafford, TX today. With a team of trusted insurance agents, they offer comprehensive coverage and policies to fit your wants and needs. Whether you’re in the market for property insurance, need to refine your current life insurance policy, or are interested in umbrella insurance, they’re ready to help you every step of the way. To see a full list of services their team provides, visit them online or call (281) 494-1500 to speak with an insurance agent today.