What type of insurance provides temporary protection for a specified period of time?

Term insurance is specifically designed to provide temporary protection for a specified period of time, which can range from a few years to several decades. It pays a death benefit to the beneficiaries if the insured passes away during the term of the policy. The primary characteristic of term insurance is that it does not accumulate cash value and is typically more affordable than permanent life insurance options.

Whole insurance, on the other hand, offers lifelong coverage and builds cash value over time, making it a permanent form of life insurance. Universal insurance also falls under the category of permanent life insurance, combining a death benefit with a cash value component that can be adjusted over time. Variable insurance allows the policyholder to allocate their premiums among various investment options, with the cash value and death benefit fluctuating based on the performance of these investments.

In contrast to these permanent options, term insurance stands out due to its focused, temporary nature, catering to individuals seeking affordable coverage for a limited time frame, such as during mortgage payments or raising children.