Guide
Term vs. permanent life insurance
What each kind is for, what it costs, and why most families start with term.
Term insurance provides a set benefit if death occurs within a specified period—typically ten, fifteen, twenty, twenty-five or thirty years—with a locked premium. At term end, coverage lapses or renews at sharply higher annual rates. It's the lowest-cost way to secure substantial protection during the years when a family needs it most.
Permanent coverage (whole life, universal life and related types) stays active for your lifetime and accrues cash value inside. Month-to-month costs are much higher for the same benefit, and cash value grows slowly in early years. This suits people with enduring needs: a dependent needing permanent support, estate settlement costs, or a business transition plan.
How to choose
Start with your actual need rather than a product category. When the need has an expiration—a paid-off mortgage, grown children, ended business loan—term coverage fits perfectly. When the need runs indefinitely, permanent coverage or a term policy with conversion rights might suit. Conversion choices vary by carrier; each quote here lists conversion terms.
What people in Menlo Park often do
A workable strategy: choose a twenty- or thirty-year term matched to your household's real financial commitments, and revisit it when circumstances shift. This approach keeps your month-to-month affordable so you can carry an adequate amount right now—what truly counts. Susman Insurance Agency can discuss permanent options if your situation calls for lifelong protection.