life insurance
Life insurance is a contract where you pay regular premiums, and in return, the insurance company pays a tax-free lump sum (death benefit) to your beneficiaries when you die. It’s mainly used to replace your income, cover debts, pay for kids’ education, or handle funeral costs.
There are two main types: - **Term life**: Covers you for a set number of years (10, 20, 30 years). Cheaper and straightforward. Best for most people. - **Permanent life** (whole life, universal life): Covers you for your entire life and builds cash value you can borrow against. Much more expensive.
How much do you need? A common rule is 10–20 times your annual income, but it depends on your debts, children, spouse’s income, and lifestyle.
Would you like me to explain the best type for your situation, how much coverage you probably need, or current average prices? Just tell me your age, whether you have kids, and rough income if you want personalized guidance.
