Life insurance offers a way to replace the loss of income that occurs when someone dies (usually the person who produces the majority of income in a family situation).
A good life insurance program does more than just replace the loss of income that occurs if you die. It should also provide money to cover the new costs that arise after your death — funeral expenses, taxes, the need for housekeepers and child care, and so on.
Term life insurance—provides protection for a specified period; is renewable (at increased premiums) and convertible and has a death benefit that is level or decreasing. The policy does not accumulate cash value
Universal life - allows the policyholder the flexibility to change the amount of the premium periodically, discontinue premiums and resume them at a later date without lapsing the policy, and change the amount of death protection
Death benefits: level or increasing
Cash value: guaranteed minimum cash value plus additional interest when rates are higher than guaranteed
Policy loans: yes, but the interest credited to the account is reduced