• Permanent insurance
• Provides protection for life.
• Premiums are level so that the costs do not increase and become prohibitive in the later years.
• Commonly used to fund an estate tax liability or to create estate equalization.
• Term insurance / Temporary Insurance
• Provides insurance coverage for a specific number of years.
• The cost is lower than permanent insurance, but coverage is for a limited period.
• Commonly used to address needs such as income replacement for a family while the children are dependent.

          Both types pay a death benefit if you should die with the policy still in force.