There are two main types of life insurance that you can purchase to protect your loved ones. The first, and most common type of life insurance is called 'term insurance'. This type of life insurance is designed to offer protection for a specified period of time - usually from ten to thirty years. This type of life insurance is useful when you have small children, or when you have a particular type of debt, such as a home mortgage. You may anticipate that these expenses will be limited in duration, so term insurance can be ideal for making sure your family is protected until these expenses are no longer present.
The second main type of life insurance is called 'whole life'. This type of insurance is designed to provide a lump sum for your family when you die, regardless of your age. Whole life is typically far more expensive than term insurance, but it is a good way for you to leave money for your spouse or children to carry on after your passing.
The type of insurance you choose depends largely on your objectives. Do you want to protect your family against having to pay specific debts, or do you want to leave a legacy that your spouse and children can use to create more prosperous, fulfilled lives?