Understanding Life Insurance

Life insurance can be intimidating. That’s why we’re here to help. With almost 2,000 companies selling a variety of life insurance policies, the process can seem overwhelming. However, there are some fundamentals that all life insurance policies share. Understanding some of those basics can help you when making your decisions.

Life Insurance Fundamental One

Life insurance is first and foremost intended to provide financial security for individuals or entities that are dependent on someone else's continued ability to provide income. The need for continued financial resources can be for a fixed period, such as to pay a mortgage or the need can be one that will last for an indefinite period.

Life Insurance Fundamental Two

Life insurance typically falls into one of two main categories: term and permanent. Term life insurance offers coverage for a set period of time, while permanent life insurance is designed to provide lifelong protection, no matter when death occurs.

Each type has its own set of pros and cons, and the right choice depends on your individual needs, goals, and circumstances. What works well for one person might not be the best fit for someone else.

Term Life Insurance

Term life insurance is a cost-effective way to get coverage for a specific period of time. Its biggest advantage is affordability—especially in the early years. Because it typically costs less than permanent life insurance, term coverage allows you to get a higher death benefit for your premium dollars.

FB’s Term series offers flexible and affordable options for those seeking temporary reliable protection. These policies provide level term coverage with guaranteed premiums for 10, 20, or 30 years—or even up to age 70. Plus, they’re convertible, giving you the option to transition to permanent coverage in the future.

Permanent Insurance (Whole Life)

Whole life insurance is designed to provide lifelong coverage. That means no matter when the insured passes away, the policy will pay out a guaranteed death benefit to their beneficiaries—as long as premiums are paid.

One of the most popular types is level-premium, level death benefit whole life insurance. The key advantage of whole life is its stability: fixed premiums, a guaranteed death benefit, and a cash value component that grows over time.

At FB, our Whole Life product line includes several options to suit your needs, such as Single Premium Whole Life, Premier Whole Life, and Select Whole Life. We also offer a variety of optional riders, so you can tailor your policy to better match your financial goals and coverage needs.

If you have questions about life insurance, reach out to our team.