Permanent Life Insurance
A permanent policy pays a death benefit whether you die tomorrow or live to be 100. Unlike term life insurance, which provides coverage for a specified period, permanent life insurance policies offer a range of benefits beyond just a death benefit. These policies typically include a component that accumulates cash value over time, which can be used for a variety of purposes, such as retirement income or to leave a legacy for your heirs.
Here are some key points to keep in mind when considering
permanent life insurance:
Provides lifelong coverage
A permanent life insurance policy offers coverage for the duration of your life, as long as premiums are paid.
Accumulates cash value
Permanent life insurance policies typically accumulate cash value over time, which can be used for a variety of purposes, such as loans or withdrawals. You can borrow these funds even if your credit is shaky.
Offers investment potential
Depending on the type of permanent life insurance policy, you may have the ability to invest in the stock market or other investment vehicles.
Can be customized
Permanent life insurance policies come in several varieties, including whole life, universal life, and variable life insurance. These policies can be tailored to fit your unique needs and financial goals.
Because of the added benefits and features, premiums for permanent life insurance policies are typically higher than those of term life insurance policies.