Guide
Term vs. permanent life insurance
What each kind is for, what it costs, and why most families start with term.
Term insurance guarantees a death benefit if you die within the chosen timeframe—typically 10, 15, 20, 25 or 30 years—at a set cost every month. When the term finishes, the policy ends or converts at a higher cost. It's the most budget-friendly way to buy substantial coverage when your family needs protection most.
Permanent policies (whole life, universal life and similar products) are written to last your whole life and accumulate a cash reserve. The monthly cost is substantially higher than term for the same death benefit, and the reserved funds grow slowly initially. The right fit is someone with permanent obligations: a family member requiring lifelong support, estate settlement, or a business continuity need.
How to choose
Begin with what you need, not what's sold. A time-limited need—paid-off mortgage, grown kids, finished business debt—matches neatly to term. Never-ending needs call for permanent policies or convertible term policies. Most insurers offer term-to-permanent conversion without retesting during a window; each quote lists conversion language.
What people in Pasadena often do
A twenty or thirty-year term, scaled to your household's real circumstances and revisited if life shifts, is popular. It's the price point that lets you lock in enough protection today, which is the practical priority. Susman Insurance Agency can talk about whole-life products if you identify permanent needs.