Term or Whole Life Insurance? It depends on your circumstances and financial goals.
Generally speaking, term life insurance offers the greatest coverage for the lowest initial premium and is a great solution for people with temporary needs or a limited budget.
Whole life insurance may make more sense if you anticipate a need for lifelong protection, or if the option of accumulating tax-deferred cash values is attractive to you.
Also, it doesn’t have to be one or the other. Sometimes, a combination of term and whole life insurance might be the right answer.
Term or Whole Life Insurance?
http://www.lifehealthpro.com/2013/06/19/whole-life-vs-term-theres-a-clear-winner-here
Term vs. whole life insurance cost comparison
MALE, AGE 30
| Policy amount | Whole life | 30-year term life | 20-year term life |
| $250,000 | $2,385 | $240 | $156 |
| $500,000 | $4,675 | $403 | $242 |
| $1,000,000 | $9,217 | $720 | $415 |
FEMALE, AGE 30
| Policy amount | Whole life | 30-year term life | 20-year term life |
| $250,000 | $2,114 | $206 | $141 |
| $500,000 | $4,142 | $335 | $208 |
| $1,000,000 | $8,150 | $585 | $347 |
MALE, AGE 40
| Policy amount | Whole life | 30-year term life | 20-year term life |
| $250,000 | $3,508 | $384 | $210 |
| $500,000 | $6,910 | $687 | $348 |
| $1,000,000 | $13,700 | $1,281 | $631 |
FEMALE, AGE 40
| Policy amount | Whole life | 30-year term life | 20-year term life |
| $250,000 | $3,008 | $314 | $185 |
| $500,000 | $5,897 | $553 | $306 |
| $1,000,000 | $11,677 | $1,026 | $534 |
MALE, AGE 50
| Policy amount | Whole life | 30-year term life | 20-year term life |
| $250,000 | $5,436 | $913 | $491 |
| $500,000 | $10,802 | $1,725 | $898 |
| $1,000,000 | $21,483 | $3,301 | $1,692 |
FEMALE, AGE 50
| Policy amount | Whole life | 30-year term life | 20-year term life |
| $250,000 | $4,569 | $689 | $375 |
| $500,000 | $9,003 | $1,284 | $669 |
| $1,000,000 | $17,760 | $2,349 | $1,233 |
Methodology: We averaged the three lowest quotes available in each category for healthy men and women. Source: Quotacy.
So, Term or Whole Life Insurance? The difference in cost between the two products is huge. The difference in coverage is much different, as well.