When most people think about buying life insurance, they don’t realize how many different options there are to choose from. Choosing the best policy requires understanding each option, and then knowing if that options is right for you and your family. Types of life insurance that a person or family might see while shopping will include term life insurance, whole life insurance, and simplified issue, among others.
The main differences in the policies concern the amount of money paid for the benefit, the length of time the insured is covered, and the application process required to gain approval of the policy. Depending on a person’s circumstances, one type of policy might be more beneficial than another. The first step to choosing a policy requires understanding each type’s differences.