Five common types of life insurance, in plain English.

What it is

Coverage for a fixed period — usually 10, 20, or 30 years. Pays a tax-free death benefit if you pass during the term. No cash value.

Who it's good for

Younger families, anyone replacing income, covering a mortgage, or protecting the years until kids are grown. Lowest cost per dollar of coverage.

What to know

Premiums stay level during the term, then rise steeply or end. Many term policies can convert to permanent coverage later without a new medical exam — useful if your health changes.

Coverage subject to underwriting. Product availability and features vary by state and carrier.

What it is

Permanent coverage that never expires as long as premiums are paid. Premium is fixed for life and the policy builds cash value over time.

Who it's good for

People who want lifelong protection, a guaranteed benefit, and a savings component they can borrow against later.

What to know

Costs more per dollar than term. Cash value builds slowly in the early years — this is a long-term product.

Coverage subject to underwriting. Product availability and features vary by state and carrier.

What it is

A smaller whole life policy (commonly $5,000–$25,000) built to cover funeral, burial, and end-of-life costs.

Who it's good for

Seniors who want to avoid leaving funeral bills behind. Often uses simplified or guaranteed-issue underwriting — frequently no medical exam.

What to know

Guaranteed-issue policies typically carry a two-year waiting period — if you pass from natural causes in that window, the policy returns your premiums plus interest rather than the full benefit. Answering health questions (when you can) usually gets you a better rate and immediate coverage.

Coverage subject to underwriting. Product availability and features vary by state and carrier.

What it is

Term life sized to your mortgage so your family can keep the home if you're gone.

Who it's good for

Homeowners who want the house paid off or payments covered without dipping into savings.

What to know

It's really just term life earmarked for the mortgage — the benefit goes to your beneficiary, who can use it however they choose, not directly to the bank.

Coverage subject to underwriting. Product availability and features vary by state and carrier.

What it is

Private life insurance that works alongside any VA or military coverage you carry.

Who it's good for

Veterans who've left service, are aging out of VGLI affordability, or want coverage that isn't tied to age-based premium jumps.

What to know

There's no such thing as a special "veterans-only" private policy or a veteran's discount — any veteran can buy standard final expense or term coverage like anyone else. Be cautious of ads implying otherwise.

Coverage subject to underwriting. Product availability and features vary by state and carrier.