Human life is a very important asset and life insurance is one of the most significant types of insurance that provides financial protection to individuals and their families in the event of uncertain risks and losses. Life insurance provides both security and protection to individuals and promotes savings among people. This exploratory and descriptive study was selected with the aim of identifying the factors that influence customers' purchasing decisions for insurance policies and analyzing customer preferences when making life insurance investment decisions. Various insurance-related factors were discussed in the paper. Data for this study were collected from primary source as well as secondary sources. The survey area was limited to Rajamandravaram District of East Godavari, A.P., and nearly 220 respondents were considered as a sample size. The survey analyzed respondents' preferred type of insurance, preferred insurer, characteristics, benefits of insurance that attracted them to purchase, how satisfied they were with the life insurance they purchased, and what difficulties they encountered when they made decisions to purchase life insurance. The study also analyzed the association between preferred type of insurance policy and age.