Difference between life insurance and term insurance

Question

Accepted Answer

Life insurance covers the entire life of the policyholder while term insurance provides coverage for a specific period.

Life insurance provides coverage for the entire life of the policyholder while term insurance provides coverage for a specific period.
Life insurance has a savings component while term insurance does not.
Life insurance premiums are higher than term insurance premiums.
Term insurance is more affordable and provides higher coverage for a specific period.
Life insurance is suitable for long-term financial planning while term insurance is suitable for short-term financial planning.
Examples of life insurance include whole life insurance and universal life insurance while examples of term insurance include level term insurance and decreasing term insurance.

Accepted Answer

Life insurance covers the entire life of the policyholder while term insurance provides coverage for a specific period.

Life insurance provides coverage for the entire life of the policyholder while te...read more

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