Life insurance is a contract in which a policyholder pays regular premiums in exchange for a lump-sum death benefit paid to the policyholder's beneficiaries. The lump-sum benefit is paid when the policyholder either passes away or a specific amount of time has passed. Life insurance policies can provide financial security for surviving family members by replacing lost income and covering expenses.

There are a number of different types of life insurance policies (sometimes referred to as products)—all of which generally fall under the categories of term life insurance and whole life insurance. The names and terms of different life insurance products in these two categories vary from one insurance company to another.

Some examples of life insurance products include:

• term life insurance

• whole life insurance

• universal life insurance

• indexed universal life insurance

• guaranteed universal life insurance

• variable life insurance

• variable universal life insurance

• hybrid life insurance with long term care

• group life insurance

• mortgage life insurance

• credit life insurance

• joint life insurance

• simplified issue life insurance

• guaranteed issue life insurance

• accidental death and dismemberment insurance

In Maryland, life insurance is regulated under both state statutes and federal law. Life insurance policies are legal contracts where the insurer agrees to pay a specified death benefit to the policyholder's beneficiaries upon the policyholder's death or after a certain period. The policyholder pays premiums in exchange for this benefit. The Maryland Insurance Administration oversees the regulation of life insurance, ensuring companies and agents comply with state laws and regulations. Types of life insurance available include term life, which provides coverage for a specific period, and whole life, which offers coverage for the policyholder's entire life and typically includes a savings component. Other variations like universal life, variable life, and various hybrid policies offer different investment options and flexibility in premiums and death benefits. Maryland law requires clear communication of policy terms and conditions, and policyholders have a minimum 'free-look' period to cancel a new policy without penalty. Insurers must also maintain solvency to meet their financial obligations to policyholders. Consumers are protected against misrepresentation and fraud, and have the right to appeal denied claims. It's important for individuals to review their policy details and consult with an attorney if they have specific legal concerns regarding their life insurance.