The Basics of Life Insurance
- Charlotte Burr
- Feb 20
- 1 min read
Updated: Apr 24
Life insurance is a contract between you and your insurance company that grants one or
more selected individuals (beneficiaries) a sum of money when you pass away. The purpose of
life insurance is to financially support loved ones after your death. Although it is not mandatory,
many people choose to pay a premium price for ease of mind, especially to those who have
partners, children, or large expenses in the future.
Life Insurance Policies Fall Into Two Categories:
Term Life Insurance - Provides protection within a designated time period (ex: 10 years). This
type of contract is a great first step into life insurance, as it is generally more affordable.
Permanent Life Insurance- Provides protection without an expiration date and ensures lifelong
coverage, if premiums are paid. The three most common types of permanent life insurance are:
whole, universal, and variable.
The Cost of Life Insurance Can Vary Depending On:
● Age and Health
● Lifestyle
● Type of Coverage
● Insurance Companies
Nervous About Where To Begin?
Independent insurance brokerage located in Tempe, AZ. We offer auto insurance, homeowners insurance, life insurance, renters insurance, commercial insurance…
Disclaimer: Coverage will vary on state, insurance company, and type of policy
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