You can buy term life insurance that covers a specific amount of time, typically between 10 and 30 years.
Typically, premiums remain constant throughout the term, and the death benefit is guaranteed in the event of your death during the term.
However, because term life insurance expires at the end of the term, your beneficiaries will not receive a payout if you die after the term ends and the policy has not been renewed or converted.
However, if you have a term policy, you may be able to convert it to permanent coverage without having to undergo a medical exam or renew it annually.
Permanent life insurance, on the other hand, is meant to cover you for the rest of your life.
As long as sufficient premiums are paid, it guarantees a death benefit for life and builds cash value over time against which you can borrow. Term life insurance typically has higher premium costs.
