Which type of life insurance requires periodic payments for coverage?

Periodic payments for coverage are a fundamental characteristic of life insurance products, and they are applicable to whole, term, and universal life insurance. Each of these types of life insurance requires the policyholder to make regular premium payments to maintain coverage.

Whole life insurance is designed to provide lifetime coverage and includes a savings component, known as cash value, which grows over time. This insurance requires the policyholder to pay premiums regularly, typically on a monthly or annual basis.

Term life insurance offers protection for a specific period, such as 10, 20, or 30 years. Each of these terms require the policyholder to make periodic payments to ensure that the coverage is in force for the desired duration.

Universal life insurance combines features of both term and whole life insurance, providing flexible premium payments and the potential to accumulate cash value. Regardless of the flexibility in payment amounts, regular premium payments are still required to keep the policy active.

Therefore, all three types of life insurance necessitate periodic payments for coverage to remain in effect, making the option stating that all of them require payments accurate.