Life insurance is an often-misunderstood product that is nevertheless a critical component of a comprehensive financial plan. It is designed to protect your loved ones in the event of your premature death, by providing them with a lump-sum payment that can be used to pay for final expenses, outstanding debts, and ongoing living expenses. In this article, we demystify life insurance and explain what you need to know about this important product, including the different types of life insurance, how much coverage you need, and how to choose the right policy for your specific situation.