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Most cheapinsurance policies are designed to protect you and your property from damage, injury or loss. cheaplife insurance, in contrast, is aimed at protecting your dependents from financial and monetary loss, and at providing for their welfare in the event of your death.

Two types of life insurance can be purchased. Term life insurance is the simplest form, and provides financial protection for a temporary period of time. This type of policy may or may not be renewable. Term life policies are normally written for individuals who need large amounts of coverage for specific time periods. Initial premiums for term life insurance are usually much less than for permanent life insurance, but they may increase each year (or remain level) for a specified period. Term life insurance provides good coverage for young families raising children or paying off mortgages. These policies are, however, short-term solutions and do not build equity-but monthly costs are low, so individuals with limited resources are able to purchase life insurance protection. Most term life policies do not accrue cash value.