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Ordinary Life Insurance

What Does Ordinary Life Insurance Mean?

Ordinary life insurance is a type of life insurance in which policyholders pay premiums for their whole lives at a set price and interval. However, ordinary life insurance policies are often considered paid up if the policyholder reaches 100 years of age. Ordinary life insurance is a term that is often used interchangeably with "whole life insurance."


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Insuranceopedia Explains Ordinary Life Insurance

Ordinary life insurance is an alternative to term life insurance. While ordinary life insurance provides life insurance coverage for a person's entire life, term life insurance is only designed to provide life insurance coverage for a specific period of time. For example, a term life insurance policy may cover a person for 10 years, 15 years, or some other length of time. Ordinary life insurance policies also often include savings and/or investment components that can be used to generate cash value.

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