Term vs whole life insurance

Term life insurance covers you for a set period and is much cheaper. Whole life insurance lasts your entire life and includes a cash value component, but the premiums are high and the returns are often lower than investing separately. For most families, term plus investing the difference wins.

Section 01

Term life

  • Fixed term: 10, 20 or 30 years.
  • Lower premiums.
  • No cash value.
  • Best for covering dependents during working years.
Section 02

Whole life

  • Permanent coverage.
  • Builds cash value slowly.
  • Higher premiums.
  • Useful for specific estate or business planning needs.
Section 03

FAQ

Can whole life be an investment?

It is technically a savings component, but fees and conservative returns usually make separate investing more attractive.

Should I convert my term policy?

Only if you now need permanent coverage and cannot qualify for a new term policy due to health changes.

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