Term Life Insurance: Term Life is generally less expensive than other life insurance products and is designated for a certain time period or to a certain age. Term is named for the contracts limited length. The premium, a cash payment that needs to be paid every month to fund your policy, is lower than that of other types of life insurance because it builds no cash value, meaning the insurance policy has no value should you try to cash it out before your death. You only pay for the cost of insurance, the amount of money the insurance company charges to keep your life insurance policy in force. This rate changes depending on your age and health at the time you apply for coverage.
Term Insurance pays a specific lump sum to your designated beneficiary, the person(s) who you want to receive your death benefits, if you die within the period covered by the policy. The policy protects your family by providing money they can invest to replace your salary, and to cover immediate expenses incurred by your death. Term Insurance is best for young, growing families, whose financial needs would be especially high in the case of an untimely death, but whose resources without life insurance, are often insufficient to cover those needs.
Whole Life Insurance: Whole life insurance is permanent life insurance protection for your entire life. A whole life policy is guaranteed not to expire, provided that you pay sufficient premiums each year to keep the policy in force. Besides permanent lifetime insurance protection, whole life insurance features a savings option that allows you to build 
cash value that won’t be taxed until it is taking from an account. A portion of the premiums you pay build up the savings option of the policy and are invested by the company. The money they make off the investment is added to your savings portion of the policy, building your cash value, means that your beneficiaries will receive more money when the policy is paid off. This allows the policy holder to better prepare their beneficiaries after their death.
Universal Life Insurance: Universal life insurance features a savings option that grows on a yearly basis. A portion of your premiums are invested by the insurance company into bonds, mortgages and money market funds. The return on this investment is credited to your universal life insurance policy. In addition, a guaranteed minimum interest rate, this is based on the market when you applied for the policy. That means that, no matter how the investments perform, the insurance company guarantees a certain minimum return on your money. Universal Life allows you to choose from two death benefit options. Option A, which is the most popular because there’s no risk, pays the death benefit out of the policy's cash value; the more cash value you build up means the company is on the hook for less insurance and therefore costs less. Option B pays the face amount stated in the contract, plus any cash values you accumulated over the years and therefore costs more. When using both options, the cash value will be credited each month with interest as well as charged a fee by the insurance company and taxed. However the policy will not be taxed if it is held until death.