Term Life Insurance What is the difference in term life insurance and whole life?

Term life insurance provides temporary life insurance coverage for a specific period of time, usually from 1 to 20 years, or until you reach age 65 or 70. Level term life insurance provides level premiums and coverage for the term of your policy. Term life insurance costs a lot less than whole life insurance and does not build cash value inside the policy. Whereas, whole life insurance may build cash value inside the policy over time, and provides lifetime protection as long as you pay your premiums. Here's how you can learn more about term life insurance vs whole life insurance.

Life Insurance has two types- term life insurance and whole life insurance. Term life insurance is like being insure during a prescribe number of years whereas whole life insurance, the services render will covers throughout your life.

Term insurance gives life insurance coverage for a specified term of years in exchange for a specified premium. The policy does not accumulate cash value. The premium buys protection in the event of death and nothing else.

Permanent insurance is a life insurance that remains in force (in-line) until the policy matures (pays out), unless the owner fails to pay the premium when due (the policy expires OR policies lapse).

Term insurance provides protection for a specific period of time. It pays a benefit only if you die during the term. Level term products are the most popular plans purchased today. The level term can be from 5 years to 30 years. The premium and death benefit are designed to stay level during the term of the contract. The premiums can be either guaranteed* or not guaranteed. When purchasing a level term life insurance policy be sure you are aware of the guaranteed* premium period. Once you have been approved and placed the policy in force with the first payment, the insurance company is obligated to keep the policy in force as long as you keep paying the premiums. You are not obligated to pay, but once you stop paying, the policy will lapse after usually a 30 day grace period. Some term insurance policies can be renewed when you reach the end of a specific period which can be from one to 30 years. The premium rates increase at each renewal date. Most policies require that evidence of insurability be furnished at renewal for you to qualify for the lowest available rates. www.leebenhamassociates.com

Life insurance is a contract between an insurance policy holder and an insurer, where the insurer promises to pay a designated beneficiary a sum of money (the "benefits") upon the death of the insured person.www.aegonreligare.com/retirement-pension-plan/pension-plan.php

These two are totally different. A term insurance policy is life coverage only. Whole life insurance, on the other hand, combines a term policy with an investment component. However, these may not be enough to address all your future healthcare needs. You should have  long term care plans too.

Term plan help to secure your family's financial needs in case of uncertainties. The plan does this by providing a lump sum to the family of the life assured in case of death or critical illness of the life assured during the term of the contract. This helps your family to maintain their financial independence, even when you are not around. for more info visit: http://hdfclife.com/Products/ProtectionPlans/TermPlan.aspx

Term life insurance policies gives sum assured if the insured is expired withing insurance period. Term life insurance is the cheapest life insurance which gives a large sum assured with a minimum premium. But you will not get any amount back if the insured is still alive at the end of the insurance period. But whole life insurance gives protection throughout your life or till when you close the policy. But the insurance premium may be higher and sum assured will be lower when compare to term life assurance. but you will get back the premium amount, bonus and loyalty addition as per the terms of the policy

Source: Basic types of Insurance policies