Term

Often called “pure life insurance”, Term Life insurance lasts for a set time period chosen when the policy is purchased; typically 10, 20 or 30 years. The premium stays the same during the term, as does the death benefit (which is tax free). There is no cash value associated with this type of policy however, it is usually the least expensive and most affordable type of life insurance offered. It is ideal as a source of income protection, especially for families. Some companies allow the policyholder to convert some or all of the policy to permanent insurance without any further proof of insurability.