If permanent life insurance is your best bet, your decision on policy type will be based on the flexibility of the policy, level of investment risk and affordability. When you make premium payments on a permanent life insurance policy, a portion of the money goes toward a cash value account.
Since there’s little cash value component to it, guaranteed universal life insurance is typically the best option if you’re interested in permanent coverage without an investment component. While guaranteed universal policies are still much more expensive than term policies, they’re usually the cheapest way to buy permanent life insurance.
Haven Life is our choice for the best term insurance coverage because of its impressive array (10-, 15-, 20-, 25- and 30-year) of policy terms, along with coverage amounts that range widely, from $100,000 to $3 million. Haven Life offers two types of term life insurance policies: Haven Term and Haven Simple.
The type of permanent life insurance that suits your needs often depends on the kind of flexibility and the risk you want. The insurance company takes a small percentage of your premium and puts it into cash value. It grows over the policy period, and you can borrow from it if needed.