Whole/Permanent Life Insurance

Summary

This practice note will discuss one of the two main varieties of life insurance, whole life insurance, which is sometimes called permanent life insurance. The other main variety of life insurance is term insurance. Whole life insurance and term life insurance are both insurance covering the life of a human being. Whole life is intended to cover the insured for their entire life, while term life only covers that insured for a specified period of time (the "term") that the policy is in force. The length of the term is selected at the inception of the policy.