Which Type Of Life Insurance Is Best for You?
Banks mortgage insurance are usually expense and the beneficiary is the bank ( death benefit money paid out to bank, NOT you)
Make sure you ask the bank who is the beneficiary.
1- Term life insurance (No Cash Value)
20 year Term means this life insurance is only valid for 20 years. After 20 years you can renew it, but will be very expensive because you get older. Unlike whole life and UL, term life has no cash value.
20 year Term means this life insurance is only valid for 20 years. After 20 years you can renew it, but will be very expensive because you get older. Unlike whole life and UL, term life has no cash value.
2. Whole life insurance + Cash Value Increases
Life insurance is forever until you pass away. You stop paying premium after 20 years and STILL get coverage from the life insurance. And it builds cash value even after you stop paying premium (after 20 years). Cash Value is money that you can access from the life insurance.
3. Universal Life Insurance + Cash Value increases
Universal insurance is forever until you pass away. You stop paying premium after 20 years and STILL get coverage from the life insurance. And it build cash value even after you stop paying premium (after 20 years). Cash Value is money that you can access from the life insurance.
The benefit of universal Life insurance is that you can select your own mutual fund. The cash value will increase faster than a whole life insurance.