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Life insurance comprises two main types: term life insurance and permanent life insurance. Term life insurance offers coverage for a specific period, while permanent life insurance provides lifelong protection. The latter is the most common and is generally more expensive, with two main subtypes: whole life insurance and universal life insurance. Whole life insurance is traditional, providing a death benefit and accumulating cash value over time. Universal life insurance is more flexible, also offering a death benefit and cash value, which can be used to cover policy costs or withdrawn. Permanent life insurance is suitable for individuals seeking lifelong protection.