We offer Fabric Premium, a term life insurance policy that is optionally convertible to whole life insurance.
Here’s a little more on what that means:
Term life insurance is sometimes called “pure life insurance” because the purpose of the policy is straightforward: It provides a death benefit to your beneficiaries if you were to pass away while the policy is active or “in force.”
As you might imagine, one of the most common reasons to get life insurance is to help protect dependents, such as children. (There are reasons why some single people might want life insurance, too.)
People who are parents often have the highest need for life insurance during the first 20 years of their children’s lives. After that, their kids are likelier to be self-sufficient. As a result, 20 years is one of the most popular term lengths available.
Unlike term life policies, whole life insurance policies (also known as “permanent life insurance”) offer coverage for your entire life. In addition to paying a death benefit, whole life policies also have the ability to build cash value over time. You can borrow against or withdraw from this cash value while you’re alive.
As a result of whole life’s ability to earn interest and accumulate cash value, however, these policies tend to be more complex and more expensive than term life insurance. Certain fees and expenses associated with whole life policies will reduce the cash value, which can, in turn, affect the benefit amounts.
Like many term life insurance policies, Fabric Premium can be converted to whole life down the line if you wish.