A good life insurance is very important in helping you to protect your loved ones.

Term life and whole life insurance are the two major types of life insurance.

For Term life insurance, there are annual renewable term life insurance and level term life insurance. Annual renewable term covers one year. If the insured person dies within that one year, death benefit will be paid. The policy can be renewed each year for a certain number of years. Level term life insurance is the insurance can be renewed for a certain number of years with a fixed premium rate. Level term is a very popular life insurance. It is cost efficient for most people. Term life insurance has lower premium than permanent life insurance and can some companies allow term policies to be converted to permanent life insurance later.

Whole life insurance, compared to term life insurance which has a term of certain period of years, covers the insured person for his/her entire life. Fixed premium rate and guaranteed accumulation of value are provide under this type of insurance.

Universal life insurance is a relatively new type of whole life insurance. With universal life insurance, consumers can have the following advantages: (1)premium payment schedule is flexible; (2)consumers can withdraw cash; (3)Fixed cash value accumulation rate.

Another type of whole life insurance is variable life insurance, under which consumers can still enjoy the flexible premium payment structure. Additionally, consumers can manage the investment activity of the money in their policy. And there won't be a fixed investment return rate as in the universal life insurance.