Term life insurance is a type of life insurance policy that provides coverage for a specific period, usually ranging from 10 to 30 years. If the insured person passes away during this term, the policy pays a death benefit to the beneficiaries. This type of insurance is often more affordable than permanent life insurance because it does not build cash value. Once the term ends, the coverage expires, and there is no payout if the insured is still alive. Some policies may offer the option to renew or convert to a permanent policy, but premiums may increase significantly at that time.