There are different types of life insurance.
Life insurance is a contract between an insurance policy holder and an insurer or assurer, wherein the insurer promises to pay a designated beneficiary a sum of money in exchange for a premium, upon the death of an insured person. Depending on the contract, other events such as terminal illness or critical illness can also trigger payment. The policy holder typically pays a premium, either regularly or as one lump sum. Policies are available for all budgets. The two most common types of life insurance are term life and whole life. Term Life offers the highest death benefit for the smallest premium. This type of insurance only covers the insured for a set number of years. Whole Life remains with the client throughout their whole life as long as the premiums are paid. These policies build value but are more expensive than a term policy.