Does permanent life insurance always last for life?

Question

At the moment, I am comparing term life insurance with permanent coverage for the same household need. At the moment, the permanent option costs much more but includes lifelong coverage and cash value features. For context, the coverage could affect roughly $72,000 or more for my family, so I am paying close attention to exclusions, beneficiary rules, and what could cause the benefit to be reduced.

Soradin · Accepted Answer

Coverage can lapse if premiums, loans, withdrawals, or policy performance cause the contract to run out of value. For this insurance planning decision, term life insurance generally provides coverage for a set period, while permanent life insurance is designed to last longer if premiums and policy requirements are met. Coverage decisions should be based on the policy contract and current values, rather than relying on a sales summary alone. The analysis should begin with the written policy and an up to date illustration, and have a licensed insurance professional explain in writing any guarantee, exclusion, rider, or surrender restriction that applies.

Does permanent life insurance always last for life?

Soradin

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