Whole life and term life are the two main types of life insurance. They have a lot of similarities, but they also have a lot of differences. It’s a good idea to know how they’re different before you decide which type of life insurance policy you want. When it’s time to get your term or whole life policy, call us at Morgan Insurance Services in Tampa, FL.
Cash Value
One difference between term life and whole life insurance is that one builds a cash value while the other doesn’t. Term life insurance does not build any cash value that the policyholder can use later. But with whole life insurance, there is this value that grows over time. As the cash value gets higher, it becomes enough to help with financial emergencies when they happen. The policyholder can borrow against the cash value when needed to get quick financial help.
Terms and No Terms
One of these types of insurance has an expiration date, and one doesn’t. This name knows whole life insurance because it stays in defect for the policyholder’s whole life. It never expires. However, term life policies are only good for a single term of time. This may be a few years, 10 years, or 20 years. During that term, the policy is in effect. Once it’s over, the policy expires. To have coverage again, the policyholder will have to apply for a new life insurance policy. Many people don’t like that these policies expire, but they make up for it by being far less expensive.
Get Life Insurance in Tampa, FL
No matter which type of life insurance you’re interested in, we’re here to help. Call Morgan Insurance Services in Tampa, FL.
