Mike’s Life Insurance Advice

Ok so I know this topic is a biggie. There’s two sides of the debate, I chose term life insurance because its what worked for me at the time. However, here’s a run down of the main differences between the two, with the pros and cons.

Term life insurance policies usually only cover death benefits for a pre-paid period of time. If that time passes, you have to renew your policy. However, they are usually much cheaper than whole life insurance policies.

Permanent life insurance lasts as long as you are alive, without ending. The premiums for whole life insurance, unlike term, stay the same over the years. Permanent life insurance policies also have cash value, serving as a kind of savings account so that if you live, you can cash it out.

A rule of thumb is “buy term and invest the difference,” (which is what I did/do). But honestly, life insurance is such a personal thing you have to do what’s right for you and your family.

Good luck and I hope this helped clarify the two terms a bit more!