What Are The Different Types Of Life Insurance? 
Steve named several types of life insurance above here , and Peggy named the 2 main categories : Term and Permanent . However there are a number of other types of life insurance designed for specific situations . For example there are `` Buy Sell Agreements '' which is insurance designed for business partners . That type provides for the buyout of the deceased partner 's interest so the surviving partner -LRB- s -RRB- can retain the business and the deceased 's survivors do n't loose out on income . Similarly there is `` Key Man '' insurance where a company insures the life of a key person so that the company does n't suffer over much due to the death of that key person . There are joint and survivorship life policies where married couples are both insured under the same policy . One type pays the death benefit on the death of the first to die , the other pays the death benefit on the death of the last to die . That one is usually designed to pay for estate taxes so the beneficiaries of the estate are n't hit with a huge tax bill . And there are more ! 