Which Makes Sense for You: Permanent or Term Life Insurance?

The choice between term and permanent life insurance is one of the most important financial decisions you'll make. Here's a side-by-side comparison to help you decide.

Term vs. Permanent Life Insurance

When Term Makes More Sense

• You're young with a limited budget
• You need maximum coverage during your income-earning years
• Your need is temporary (mortgage, child-rearing years)
• You plan to self-insure through savings and investments

When Permanent Makes More Sense

• You want coverage that will never expire
• You have a permanent dependent (special needs child)
• You're doing estate planning and need the death benefit to pay estate taxes
• You want a tax-advantaged savings vehicle
• You're a business owner with buy-sell or key person needs