Face Value

• One of the most important factors for you to look at when buying a life insurance policy is the face value. When you buy a life insurance policy, you will be able to choose the face value. The face value is the amount of money that the life insurance company will pay your family when you die. For instance, if you buy a $1 million life insurance policy, your beneficiary will get $1 million when you die.
  
  

Cash Value

• When choosing a life insurance policy, you also need to look at whether it has a cash value feature. Some life insurance policies accumulate a cash value over time because part of your premium goes toward an investment account. When your policy grows a cash value, you could eventually choose to access it if you need money. You can borrow the money through a policy loan or you can cash out the policy and get the cash value.
  
  

Length of Coverage

• The length of coverage is another important factor to consider when getting a life insurance policy. If you buy a term life insurance policy, you will only be covered for a certain number of years. For instance, with a 20-year term policy, your family will only get a death benefit if you die within those 20 years. With a whole life or universal life policy, your policy will last until you die, as long as premiums are paid.
  
  

Riders

• When choosing a policy, you also may be given the opportunity to purchase additional riders. Riders provide you with additional coverages on top of the basic death benefit that comes with your policy. For instance, you can choose to get an accidental death and dismemberment rider. This could double the face value of your policy if you die in an accident. You also can get a spousal rider, which essentially provides life insurance coverage for your spouse, as well.