Lesson 1: Term Life Insurance — Pros, Cons, and Best Uses

Term life insurance is the simplest and most affordable type of coverage.
You pay a fixed premium for a set number of years — typically 10, 20, or 30 years.
If you pass away during that term, your beneficiaries receive the payout.

✅ Pros

• Lower cost for higher coverage

• Easy to understand

• Ideal for families with temporary needs (mortgage, children’s education, income replacement)

⚠️ Cons

• No cash value (it’s pure protection)

• Coverage ends when the term expires

• Renewal after expiration can be expensive

Who It’s Best For:
Young families, new homeowners, or anyone wanting affordable protection during key earning years.

💡 Think of term insurance like renting protection — it’s temporary, but it gives you peace of mind when you need it most.