TERM VS PERM

Dan Cooper’s life insurance coverage expires on Dec. 31, 2020

• TERM

• PERM

Doris Mann’s policy from Acme Insurance Co. currently has a cash value of $4,782.68

• TERM

• PERM

Grady Fillmore wants to make sure his life insurance proceeds cover his funeral expenses and all outstanding debts when he dies, so his family won’t have to incur the expenses.

• TERM

• PERM

Alice Yates’ life insurance policy doesn’t have any value unless she dies during the policy term.

• TERM

• PERM

The XYZ Life Insurance policy Ruby Wannamaker’s parents purchased for her when she was born will cover her for her entire life as long as the required premiums are paid.

• TERM

• PERM

Leo P. Conrad purchases a second life insurance policy to make sure his children’s educational expenses are covered in the event he dies before they graduate.

• TERM

• PERM

A contract between an insurance policy holder and an insurer or assurer.

• Life Insurance

• Premium

• Beneficiary

The person or people designated to receive the death benefit from a life insurance policy when the insured passes away.

• Life Insurance

• Premium

• Beneficiary

The amount you pay to the life insurance company in exchange for your life insurance coverage.

• Life Insurance

• Premium

• Beneficiary

List three types of situations where people should have life insurance: