What Type of Life Insurance You Should Buy

 Everyone would agree over the fact that, when it comes to life insurance, it is never black and white. With a car, you can get the benefits of car insurance while a home comes with the coverage of a homeowner’s insurance. But, what can you make out of your life? Like everything else, our lives are unpredictable as well. Life insurance can provide you with the right assurance about your family’s long-term financial stability. The sole purpose of this article is to make you aware of the various policies and which is the right Life Insurance Edmonton for you. 

Top 4 Life Insurances to Consider

1) Term Life Insurance

The term life insurance is by far one of the most common Life Insurance Edmonton people seek for. Consider the same, just like your car insurance policy. Every six months or a year, you pay the premium, in return of which the insurer pays the claim. There is no rocket science involved, and the same goes for term life insurance as well. A typical term ranges from 10, 15, 20 to even 30 years. In case of the policy holder’s demise, the insurance company will provide the death benefits to the beneficiary.

2) Permanent Life Insurance 

The idea of permanent life insurance is quite different from Motorcycle Insurance Edmonton (reference we gave for the term). In permanent life insurance, it is always a win-win situation for the policyholder. On account of their death, the beneficiary can get the death benefits. At the same time, after the maturity period, you have the advantage of looking at it from an investment perspective. This is termed as the cash value of the permanent life insurance policy. 

3) Whole Life Insurance 

The whole life insurance policy is based upon premium, and the time period you want to continue with the policy. With the premium over time, a portion of the same goes into cash value. In other words, the longer duration of time you own the policy, the higher is going to be the cash value. It is also one of the major reasons due to which, a whole life insurance policy is more on the expensive side. 

4) Universal Life Insurance

The terms of universal life insurance resonate with that of a whole life insurance policy. It offers both death benefits as well as cash value. At the same time, there is more flexibility in the premium. Making a trade-off with the cash value, you can actually keep your premium lower than normal. 

Final Takeaway

It is imperative to understand that life insurance is simple, just like your car or Motorcycle Insurance Edmonton. As soon as you start your own family, it is very important to get one as per your preference. At the same time, over-complicating life insurance is just going to create a hindrance over your decision. That being said, consulting with your financial advisor or the insurance agent can help you have a better understanding of life insurance policies.