Difference Between Whole Life And Term Life at Life

Difference Between Whole Life And Term Life. Common term periods are 1 year, 5, 10, 15, and 20 years. Term life insurance is temporary, covering you for a fixed period of time, while whole life lasts a lifetime.

In simpler terms, the policy is not worth anything unless the policy owner dies during the course of the term. What is difference between whole life and term life insurance? Most canadians are best served by term life insurance, but both types of life insurance have their advantages and disadvantages.

Term life insurance is affordable and straightforward but doesn’t last for life, while whole life insurance doesn't expire, but is more expensive. What is difference between whole life and term life insurance? Whole life insurance can cost anywhere from five to twelve times the cost of term life insurance, making this a much larger financial commitment. This is because the dollars you pay into term life insurance premiums are only there to provide a death benefit to your beneficiaries if you die during a specified term, while money you invest in whole life insurance premiums builds cash value that you can use later in life or that will add to the death benefit payout.