Life insurance provides payment to a beneficiary or beneficiaries upon the death of an insured.
It contains no cash value. The policy defines a basic benefit amount of coverage and is payable to the beneficiaries upon the death of the insured. These policies are considered permanent because they do not terminate with time as the policy lasts for the insured's lifetime. Most policies are written to mature at age 100. All three types contain both the basic benefit and an accumulation portion.