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 entire lives at a set price and interval. However, these policies are often considered paid up once the policyholder reaches 100 years of age. The term “ordinary life insurance” is frequently used interchangeably with “whole life insurance.”

Insuranceopedia Explains Ordinary Life Insurance

Ordinary life insurance is an alternative to term life insurance. While ordinary life insurance provides coverage for a person’s entire life, term life insurance is designed to offer coverage for a specific period, such as 10 or 15 years. Additionally, ordinary life insurance policies often include savings and/or investment components that can accumulate cash value over time.