Universal Life Insurance is a Form of Cash Value Life insurance. There are many dozens of varaiations of Universal Life Insurance.
Term Life Insurance is a pure life insurance plan that has a set number of years that coverage is provided for. Term Life is generally sold in bands of 10, 20, and 30 years.
Being a cash value plan, universal life is extremely complicated and is really too difficult to begin to explain in an online post. I warn people that are interested in Universal Life Insurance to carefully consider what you are buying. Read all documents and request guaranteed value charts. Compare the cost vs a simple term life policy.
Term Life Insurance is vastly simpler and does not have a savings plan function. Term is pretty comparable from company A to company B. Because of its simplicity and coverage fora given period of time, Term Life is typically the most suggested form of life insurance from the likes of Suzy Orman, Dave Ramsey, and Clark Howard,
As with all life insurance check the credit rating of the insurer and do your homework.
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