Protect your family's future.

Term life covers you for a set number of years and pays a death benefit only if you die during that term. Whole life is permanent: it covers you for life, the premium is level, and it builds cash value over time. Term generally costs less for the same death benefit, which is why many people use it to cover a specific span such as the years until a mortgage is paid off or the children finish school. Whole life is more often chosen for lifelong needs like final expenses or leaving a legacy.

A common rule of thumb is 10 to 12 times your annual income, but treat that as a starting point rather than an answer. A better estimate adds up what your household would actually need: the income you would be replacing and for how many years, the balance on your mortgage and other debts, future costs such as college, and final expenses. Then subtract what you already have, including savings and any coverage through work.

Not always. Traditional underwriting can involve a health questionnaire, a review of your medical and prescription history, and sometimes a paramedical exam with bloodwork. Many insurers also offer accelerated or simplified underwriting that skips the exam, usually with lower coverage limits or a higher premium for the same death benefit. Your age, the amount of coverage, and your health history determine which path you are offered.

The main factors are your age, your health and medical history, tobacco use, the amount of coverage and the length of the term, and the type of policy. Some insurers also consider your occupation, hobbies such as scuba diving or private aviation, and your driving record. Rates are set by the insurer and approved by your state, and the premium for a term policy is locked in for the length of the term.

A life insurance death benefit paid to a named beneficiary is generally not subject to federal income tax. There are exceptions, and estate taxes, interest paid on delayed payouts, or a policy that was transferred for value can change the picture, so it is worth asking a tax professional about your own situation.

It might not be. Group life through an employer is often limited to one or two times your salary, and in most cases it ends when your job does. An individual policy belongs to you, follows you between jobs, and locks in a rate based on your age and health today. Many people keep their group coverage and add an individual policy on top of it.

Any time. Life insurance has no annual enrollment period, unlike health coverage. Applying earlier generally means a lower premium, because age and health are the two biggest factors in what you pay.