What is the difference between term and whole life insurance?

Term life provides coverage for a specified term, while whole life provides lifelong coverage with a cash value component. We can explain the distinctions and help you decide.
aTerm Life Insurance:
A. Term life insurance offers coverage for a specified term, such as 10, 20, or 30 years. The premiums for term life policies are generally more affordable compared to whole life insurance. The death benefit is paid out only if the insured passes away during the policy term. Term life insurance typically does not have a cash value component, and the coverage is renewable at the end of the term, often at higher premiums.
2. Whole Life Insurance:
Whole life insurance provides lifelong coverage until the insured's death. While the premiums are higher than those of term life insurance, the death benefit is paid out whenever the insured passes away, with no specific term limitation. Whole life policies accumulate a cash value over time, which can be borrowed against or withdrawn. Additionally, they include an investment or savings component contributing to the cash value. The premiums for whole life insurance remain stable throughout the policy's duration.
Choosing between term and whole life insurance depends on individual needs, financial goals, and preferences. Term life insurance is often suitable for those seeking affordable coverage for a specific period, while whole life insurance provides permanent coverage and the potential for cash value accumulation. For more information, visit https://jclifehealth.com/