Life insurance is essential coverage for people concerned about their families, debts, or final arrangements. It comes in different shapes and sizes and provides different types of protection, depending on your needs. Here are some of the most common questions people encounter when choosing a policy.

Answers to Frequently Asked Questions About Life Insurance

What is term life?

Term life coverage lasts for only a certain period, often five to 20 years. It has low premiums and is for people who only need coverage temporarily, such as until the mortgage is paid or until their children are grown.

What is whole life?

Whole life insurance is permanent. It lasts until you pass away, so it is guaranteed to pay out. It also contains an investment component and sometimes other protections, like long-term disability coverage. It is, therefore, more expensive, and you may need a health screening before approval.

What is the "investment arm" of whole life?

Part of your monthly premium is directed into an investment savings account that earns interest and builds cash value over time. You can later access it to help pay for expenses during retirement. Term life coverage does not offer this type of benefit, which is why its premiums are less expensive.

How much life insurance do you need?

It depends on your financial goals. If you wish to ensure your spouse and family continue to live their current life for two years, consider a policy that pays out two years' salary. To pay off the mortgage or your children's college tuition, you may need additional coverage. Alternatively, you can purchase a simple policy that pays for funeral and burial costs.

To discuss an affordable life insurance plan that protects your family, contact Family First Insurance Services in Wesley Chapel, FL. Backed by Allstate®, they have access to comprehensive coverage and will tailor a policy to fit your needs. Check out their website to learn more about the services they provide. Call (813) 994-3900 to discuss your coverage needs or request a free life insurance quote.