Life insurance is a contract between an insurance company and a policyholder in which the insurance company agrees to pay a sum of money to the policyholder’s beneficiaries upon the policyholder’s death.
Life insurance is important because it can provide financial security for your loved ones after you’re gone. It can help pay for funeral expenses, outstanding debts, and other costs. Life insurance can also be used to provide income replacement for your family if you’re unable to work due to illness or injury.