I read a great article in the news this morning on something I didn’t know much about: life insurance. I learned from this QnA article the difference between term and life plans. There is wisdom in either, depending on your needs. Here is an excerpt from the insurance article:
As to your life insurance, there is no doubt that I am a fan of term life insurance. I believe it is the best type of insurance for the majority of people. Not only is it affordable, but it is also easy to understand. When you purchase term insurance, you are buying insurance for a period of time. In your situation you are looking at a 30- or 40-year policy. That means is if you pass on during that period your policy will pay your beneficiaries. If you are surviving 30 or 40 years down the road, the policy would lapse. However, keep in mind that the most important time to have insurance is when your children are young. Once your kids are off your payroll your needs for insurance diminish dramatically.
What do you think of the 30 or 40 year life insurance option?
