?Term life insurance is inexpensive and can cost a considerable amount less than permanent life insurance.
?There are no strings attached with this form of insurance and you are free to stop paying whenever you want.
?You can begin using term insurance and if you feel like you want more coverage, you can then convert to permanent life insurance if you wish.
?Term life insurance only provides coverage. There are no other rewards and there is no cash value.
?Yes you are free to stop paying whenever you please, but should you choose to do so you will no longer have any life insurance coverage.
?Term prices increase at a rapid pace as you get older and as you get older, your need for this type of insurance will become more and more crucial.
Permanent Life Insurance
?Permanent life insurance can accumulate into cash value and savings. Any cash value which you receive will be tax deferred.
?There is no risk involved in this form of insurance. Your loved ones will receive a death benefit regardless of when you pass away, whereas term life insurance will only pay out if you happen to be covered when you die.
?You can borrow the cash value you receive to pay for college, a vehicle, etc. You can do this without receiving a penalty for doing so.
?The most noticeable disadvantage to permanent life insurance is the cost. This form of life insurance will cost you a great deal more than term life insurance.
?Should you decide to forgo your permanent life insurance coverage, you will be required to pay a large penalty which will be bounded by law.