What Is The Advantages And Disadvantages Of Life Insurance? 
Your question , `` What are the Advantages and Disadvantages of Life Insurance '' is a good starting point of inquiry . However there are several different types of life insurance and some additional options of the kinds of providers . I would say that the universal advantage that all the types of life insurance have is that they will pay a cash benefit to the beneficiaries of the policy that has a much greater value than it 's monetary cost . That is - as long as the policy is in force , and if the policy is a `` Universal '' life policy that the premiums must have been kept up with the pace of the increasing `` cost of insurance '' . And that 's what I hate about `` Universal '' life policies and would definitely count that as a DISadvantage . The greatest Advantages all around are achieved with Participating Whole Life policies with Mutual companies . The only thing that could be considered a disadvantage in these policies would be the higher premiums paid compared with Term policies . But that 's like comparing carrots to Filet Mignon . WHole life policies carry a much greater benefit -LRB- face/death value -RRB- than their cost . They also accumulate tax-free Cash Value that may be used , tax-free and even provide an income for retirement years . Participating Whole Life with Mutual companies are also eligible for Dividends in addition to the Guaranteed tax-free compounding interest paid to the cash value . And as long as the premiums are paid as agreed the policy will never expire . And the premiums will never increase . Also with these participating policies your benefit amount may increase over the life of the policy . Term and Universal policies do expire and that would be a disadvantage . With Term policies there is never a cash value , and with Universal policies there can be a cash value that grows for a number of years , but then it will usually be devoured by the increasing ` cost of insurance ' . All disadvantages . For more information see WEBSITELINK 