Guide
Term vs. permanent life insurance
What each kind is for, what it costs, and why most families start with term.
Term insurance provides a fixed death benefit if death occurs during the selected period—usually 10, 15, 20, 25, or 30 years—and the monthly cost stays the same for the whole term. When the term expires, coverage ends or converts to a far higher premium. For most families, it is the most affordable way to have substantial protection during the years when that protection counts the most.
Permanent insurance (whole life, universal life, and similar forms) is built to remain active for your entire life and accumulates a cash value within the policy. Monthly premiums are much higher than term for the same death benefit, and cash value grows slowly in the early years. It makes sense for people with ongoing needs: a family member who will always require support, a need to create liquid assets for the estate, or a business buy-sell arrangement.
How to choose
Begin with the need, not the product type. If your need has an expiration—a mortgage you will pay off, children who will eventually be independent—term insurance aligns perfectly with that timeline. If a need is lifelong, permanent insurance or a term policy with a conversion rider might suit you. Most carriers allow you to convert term to permanent without additional medical review during a set conversion period; the quote tool displays each carrier's conversion options.
What people in Pomona often do
Many households choose a 20- or 30-year term sized to their current obligations and revisited when major life changes occur. This strategy holds premiums down so you can afford the coverage you need today—which is the essential thing. If a lifelong need does emerge later, Susman Insurance Agency can explore permanent options at that time.