Life insurance is a crucial financial tool that provides protection and peace of mind for you and your loved ones. It is designed to offer financial security and support in the event of your death. Life insurance policies typically pay out a lump sum or regular payments to your designated beneficiaries, helping to cover various expenses, such as funeral costs, outstanding debts, mortgage payments, and providing income replacement for your family's financial well-being.

There are different types of life insurance policies available, including term life insurance and permanent life insurance. Term life insurance provides coverage for a specified term, such as 10, 20, or 30 years. It offers a death benefit if you pass away during the term of the policy. Term life insurance is often chosen to cover temporary financial obligations, such as mortgages or to provide income replacement during the working years.

Permanent life insurance, on the other hand, offers coverage for your entire lifetime as long as the premiums are paid. It accumulates a cash value component over time, which can be accessed for various purposes, such as borrowing against it or supplementing retirement income. Permanent life insurance provides long-term financial protection and can serve as an estate planning tool.