Life Insurance FAQs

What’s the difference between term and whole life insurance?

Term: Provides coverage for a specific number of years.

Whole: Covers you for life and can accumulate cash value over time.

How much life insurance do I actually need?
A general guideline is 10–15 times your annual income—or enough to cover debts, replace lost income, and provide for future expenses.

What happens if I outlive a term life policy?
Your coverage ends, but some term policies allow renewal or conversion to permanent life insurance.

Is life insurance taxable?
The death benefit is typically tax-free for your beneficiaries.

Do stay-at-home parents need life insurance?
Yes—consider the cost of child care, housekeeping, and other essential support they provide.

Can I get life insurance if I have health issues?
Yes, many providers offer policies designed for individuals with pre-existing conditions.

What’s the cash value of a life policy, and how does it work?
Whole life insurance builds a savings component you can borrow against or withdraw from while you're still alive.

Can I change my beneficiary later?
Absolutely. You can update your beneficiary at any time to reflect life changes.

When is the best time to buy life insurance?
The sooner, the better. Rates are typically lower when you're younger and in good health.

Do I need life insurance through work and a personal policy?
Yes. Employer-provided policies are often not portable and may offer limited coverage—supplementing with a personal policy is recommended.