Life insurance provides financial protection for beneficiaries in the event of the insured person’s death. Life insurance benefits can serve as a replacement of lost income to your family or to pay bills and final expenses. Life insurance can also act as an estate transfer vehicle to your loved ones (always speak to a qualified tax advisor), as protection for your business and possibly as a way to accumulate cash value for your retirement. How it is used depends on your unique circumstances. The reasons you might buy life insurance will vary, depending on your age, financial situation and other factors. Listed below are some examples: Single person with no dependents: Funeral expenses; medical bills; debts, such as credit cards or student loans; elderly parents who may be dependent upon you for support. Note: Buying life insurance at a young age can be less expensive. As you get older or possibly incur a serious health condition, it will be more expensive or difficult to buy a policy. After reviewing the various Disability Insurance available, you might still be unsure about which best meets your needs. The American Council of Life Insurers (ACLI) recommends consulting with an insurance agent who can recommend policies that he or she thinks will meet your needs. Non-guaranteed term life provides coverage only for a short time (usually a year) and is pure death benefit protection. The risk with term life is that your health might deteriorate and you could be unable to get another policy once the term is up. Premiums can also increase dramatically as you age. Term life insurance is a good choice for young people who can’t afford the higher costs of permanent insurance, or for people with financial obligations that will disappear in time, such as a car loan or a mortgage. There are many choices when it comes to life insurance. Policies are underwritten by more than 2,000 life insurance companies in the United states, and sold through banks and other financial institutions, as well. One of the basic forms of life insurance. Ideally suited for when you need coverage during a short or fixed period of time. Underwritten term life insurance offers you coverage flexibility at competitive rates.