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Life Insurance

What is life insurance and how does it work?

Life insurance is a contract between you and an insurance company: you pay regular premiums, and in exchange the insurer pays a lump-sum death benefit to your chosen beneficiaries when you pass away. It's designed to provide financial protection for the people who depend on you.

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There are two broad categories — term life insurance, which covers you for a set number of years, and permanent life insurance (whole life, universal life, IUL), which covers you for your entire life and can build cash value over time.

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The right type and amount depends on your age, health, income, debts, and what you want the coverage to accomplish, so it's worth discussing your specific goals with a licensed agent before choosing a policy.

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