What is a common feature of a Term Life Insurance policy?

A common feature of a Term Life Insurance policy is that it is generally less expensive than permanent insurance. This distinction arises because term life insurance provides coverage for a specified period (the "term") and does not include cash value accumulation as seen in permanent policies. By focusing solely on providing death benefits without the additional features that contribute to higher premiums, such as cash value or dividends, term life insurance can offer a more budget-friendly option for individuals seeking temporary coverage.

This lower cost makes it an attractive option for many people, especially those who need coverage for specific financial responsibilities, like raising children or paying off a mortgage, without the higher prices associated with whole life or universal life insurance policies.