Credit life insurance is generally structured as:

Explanation

Credit life insurance is typically decreasing term coverage tied to a loan; as the loan balance falls, so does the coverage, and if the borrower dies the remaining balance is paid to the creditor. It is not a permanent investment policy for the estate, not a participating whole life investment, and not an annuity. Its whole purpose is to retire a specific debt on the borrower's death, which is why a declining term benefit matched to the loan is used.