O.K. now here's the big term vs. permanant life insurance debate.
1. Term life insurance is purchases for a time period. This period is usually 10, 20, or 30 years. The thought is that it is purchasing 'pure life insurance' for the period of time that a person will actually need it. This is usually the least expensive way to initially buy insurance - but does it work out cheaper in the long run? After the term, the consumer will have to renew the insurance at substantially higher rates because the client is older - if the client can renew at all. FOr young people to middle aged peole who are saving or investing, or who want to protect an asset that will be paid off (i.e. a home mortgage), term is probably a great solution.
2. Perm. Life insurance may be universal or whole life. For a given age and health status this insurance will have higher premiums than term, but the rates are usually given to last the life of the policyholder. So if a consumer buys a whole life policy at 40, he/she will pay the same premiums at the age of 80 - a much better deal than trying to find a term policy as a senior citizen!
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