Life insurance, explained in plain English.
No jargon, no sales pitch. Learn how it works, what the main types really do, and how to figure out which one fits your life, before you talk to anyone.
The short version
Life insurance pays money to the people you choose when you die. There are two broad kinds: term (covers you for a set number of years, lowest current outlay) and permanent (whole or universal life, which lasts for life and builds savings, but at a higher current outlay). Which one fits depends on how long your need lasts and your budget.
Start here
Guide · 11 min
How life insurance works
Where it came from, how insurers see risk, and why premiums are what they are.
Read the basics →Guide · 28 min
Term vs. whole vs. universal
The three main types side by side: what each is for, and the trade-offs.
Compare the types →Guide · 7 min
Which type fits you
A simple, step-by-step way to narrow it down for your own situation.
Walk through it →Tool · 7 min
How much coverage do you need?
Works out the difference between what your family would need and what they'd already have. It runs entirely in your browser. Nothing you type is saved or sent.
Go a little deeper
Guide · 10 min
Using it as a planning tool
Who owns the policy, how to name beneficiaries, how the money gets paid out, and the real pros, cons, and alternatives.
See how it fits →Guide · 12 min
Trusts
Revocable and irrevocable in plain English, why people name a trust as beneficiary, and what to do when a child is young or a family member has a disability.
Understand trusts →Guide · 9 min
The companies behind the policies
What "mutual" and "stock" companies mean, how dividends work, and the difference between a policy's illustrated cost and what it really costs over time.
Understand the companies →Guide · 15 min
Choosing who you buy from
Agents, brokers, financial planners, and online sellers, with the pros and cons of each, and how to check a license and read the credentials (CLU, ChFC, CFP).
How to choose →Guide · 17 min
Rules and riders
The fine print that applies to every policy: the two-year contestable period, the suicide clause, what you keep if you stop paying, and the add-ons worth asking for.
Read the rules →Guide · 9 min
Health ratings
How insurers sort you into a rate class, why the class names mean nothing between companies, and what happens if your health changes later.
See how pricing works →Reference
Reference · 11 min
Social Security
Survivor benefits and retirement benefits explained, with charts. Count these first, because they lower how much coverage you actually need.
Understand the benefits →Reference · 7 min
Glossary
Every term defined in plain words: premium, death benefit, cash value, rider, underwriting, and more.
Open the glossary →Reference · 3 min
Where our facts come from
The official sources we cite: the National Association of Insurance Commissioners, state insurance departments, the IRS, and the Insurance Information Institute.
See our sources →Common questions
What is life insurance, and how does it work?
You pay a company small amounts over time. When you die, the company pays a sum of money to the people you choose. That's the whole idea. Everything else is detail about how long the coverage lasts and what it costs. We walk through it on how life insurance works.
What are the main types of life insurance?
There are two broad kinds, and most lists split them into three or four. Term covers you for a set number of years. Permanent lasts for life and comes in two forms, whole life and universal life. Final expense is a small whole life policy sold for funeral costs, so some lists count it as a fourth type. See term vs. whole vs. universal for each one side by side.
Do I need life insurance, and when do you stop needing it?
You need it when someone would face a money problem if you died -- a partner who shares the bills, children, or a debt that would land on someone else. That need can close once the kids are grown, the mortgage is gone, and no one depends on your income. If no one relies on you and no debts would pass to someone else, you may not need it at all.
Is life insurance worth it?
It's worth it when it's doing a real job: replacing lost income, paying off a mortgage, or covering final costs for people who would feel the loss. If no one depends on your income and no debts would pass to someone else, paying for it may not be worth it. Match it to a need, not to a sales pitch.
Ready to compare real options?
When you know what you're looking for, our sister site helps you compare carriers and licensed agents. Visit Life Insurance Apply → (placeholder link — set at launch)