For someone with a large mortgage or dependent children, what type of life insurance is typically recommended?

Term life insurance is typically recommended for someone with a large mortgage or dependent children because it provides coverage for a specific period of time, usually ranging from 10 to 30 years. This type of insurance is often more affordable than whole or universal life insurance, making it accessible for individuals who need to prioritize financial responsibilities, such as paying off a mortgage or supporting children.

The key benefit of term life insurance in this scenario is that it can offer a substantial death benefit that can help cover the mortgage or provide financial support for children if the insured individual passes away during the term of the policy. This ensures that dependents can maintain their standard of living and housing stability in the event of an unexpected death.

In contrast, whole life and universal life insurance include a cash value component and tend to have higher premiums, which might not be as cost-effective for someone primarily focused on providing financial protection for a limited time. Variable life insurance involves investments that can fluctuate in value, which adds a layer of complexity and risk that may not be suitable for someone looking for straightforward protection to cover immediate financial obligations.