Guide
Term vs. permanent life insurance
What each kind is for, what it costs, and why most families start with term.
Term coverage pays the stated death benefit if death occurs within a fixed period—usually 10, 15, 20, 25 or 30 years—while premiums stay the same. The policy ends when the term expires, or renews at a higher cost. It is the most affordable path to substantial protection during peak earning and family-responsibility years.
Permanent coverage (whole life, universal life and variants) is structured to remain in force for your lifetime and builds stored cash value within the policy. Monthly premiums are much higher per dollar of benefit, and cash growth is slow early on. It addresses permanent needs: a dependent requiring lifelong support, business succession, or estate tax planning.
How to choose
Begin with the need, not the product type. When the need has an end date—a paid-off mortgage, grown children—term coverage aligns directly. When a need is permanent, permanent coverage or a convertible term may fit. Many carriers permit conversion from term to permanent without reunderwriting during the conversion window; each quote shows the conversion terms.
What people in Martinez often do
A common strategy is a 20 or 30-year term sized to actual obligations, revisited when life circumstances shift. This strategy keeps the monthly cost low enough to purchase the needed amount now, which is what counts most. Susman Insurance Agency is happy to discuss permanent coverage if you see a lifelong need.