4 Things to Watch for When Buying Life Insurance
If you have people depending on you and your income, having a good life insurance policy is one way you can protect them if something happens to you. However, not all life insurance policies are created equal. Many have loopholes and legal traps buried in the fine print. Even the most benign provisions can cause you problems if you don't understand them. Here's what you need to understand -- and watch out for -- before signing on the dotted line of any life insurance policy.
Life insurance policies come in two basic flavors: term life and permanent life (also known as cash value life). Term life covers you for a certain length of time (often 10 or 20 years). Permanent life covers you until you die (assuming you keep up your premium payments).
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Source: Fool.com