Choosing the right life insurance policy is one of the most important financial decisions you can make. Whether you’re protecting your family, building tax-advantaged savings, or creating a legacy, it’s essential to understand your options. In The Woodlands, TX, many families are asking: What type of life insurance is right for me? In this post, I’ll break down the basics—and link to an in-depth conversation I had with Kristin Gunderson on YouTube to help bring these ideas to life.
Term vs. Permanent Life Insurance
Term Life Insurance provides straightforward, affordable protection for a set period—typically 10, 20, or 30 years. It’s ideal for covering temporary needs like a mortgage or income replacement during your working years. However, once the term ends, so does the coverage.
Permanent Life Insurance, on the other hand, lasts your entire life and includes a cash value component that grows over time. It can serve as both protection and a financial asset.
Learn more about life insurance options here.
The 4 Types of Permanent (Cash Value) Life Insurance
- Whole Life InsuranceOffers guaranteed premiums, death benefit, and steady cash value growth. Great for those who want a simple, stable policy.
- Universal Life Insurance (UL)Provides flexibility in premium payments and death benefit adjustments. Cash value earns interest based on market rates.
- Variable Universal Life Insurance (VUL)Allows you to invest your cash value in market sub-accounts. Offers growth potential, but carries investment risk.
- Indexed Universal Life Insurance (IUL)Links your cash value growth to a stock market index, offering upside potential with downside protection. Popular for long-term income planning.
Watch: Life Insurance Explained on YouTube
Want a real-world explanation of how these policies compare? Watch my interview with Kristin Gunderson where we discuss term vs. permanent life insurance, cash value, and how to decide which type fits your financial goals.
Serving Families in The Woodlands, Texas
As a local financial advisor and life insurance agent based in The Woodlands, TX, I work with individuals and families to create customized protection and growth strategies. Whether you’re exploring your first policy or reviewing existing coverage, I’m here to help.
Contact me today to discuss your options and make confident, informed decisions about your future.