Life insurance is a financial product designed to provide monetary protection to your beneficiaries in the event of your death. Essentially, you pay regular premiums to an insurance company, and in return, they guarantee a lump-sum payment—called the death benefit—to your chosen beneficiaries when you pass away. This helps cover expenses such as funeral costs, outstanding debts, or ongoing living expenses for your family. Life insurance can also serve as a tool for long-term financial planning, offering peace of mind that your loved ones will have financial security even if you’re no longer there to provide for them.