What types of benefits are typically absent from Term insurance?

Term insurance is designed to provide coverage for a specified period, typically offering death benefits to the policyholder's beneficiaries if the insured passes away during the term. While it excels in delivering these death benefits, it does not include features commonly found in other types of insurance products.

Living benefits, which often allow policyholders to access funds while they are still alive under certain circumstances (like chronic illness or terminal diagnosis), are typically absent in term insurance. This type of policy is focused solely on the event of death within the policy term and does not offer any cash value accumulation or benefits that can be accessed during the insured's lifetime.

Other benefits, such as investment growth or policy loans, are features tied to permanent life insurance products rather than term insurance. Therefore, the distinction of lacking living benefits is what defines term insurance in this context. Understanding this difference is essential when considering the various types of life insurance and what they provide for the insured and their beneficiaries.