What type of life insurance provides coverage for a specified period?

Term life insurance is designed to provide coverage for a specified period, typically ranging from one to thirty years. It is a straightforward and often more affordable type of life insurance that pays a death benefit only if the insured passes away within the designated term. This makes it especially appealing for individuals seeking temporary coverage, such as for raising children, paying off a mortgage, or ensuring financial security during a certain phase of life.

In contrast, whole life insurance offers permanent coverage for the insured's entire life, accumulating cash value over time. Universal life insurance also provides lifelong protection but includes flexible premiums and an investment component, allowing the policyholder to adjust premiums and coverage. Variable life insurance combines a death benefit with investment options, potentially increasing the cash value based on market performance but carrying more risk. Term life insurance uniquely focuses on the concept of providing a safety net for a predetermined time, making it the right choice for those who need temporary coverage without the complexities of permanent policies.