Decreasing term insurance is typically used to:

Decreasing term insurance is designed specifically to provide a death benefit that declines over time, making it particularly suitable for covering debts that diminish, such as a mortgage. As the mortgage balance decreases each year as payments are made, the death benefit of the insurance policy also decreases correspondingly. This aligns the insurance coverage with the potential financial obligation—protecting beneficiaries from having to pay off the remaining mortgage in the event of the insured's death.

In contrast, other options such as liquidating an estate, building cash value for retirement, or paying estate taxes do not reflect the primary purpose of decreasing term insurance. These scenarios typically require a level of coverage that remains stable or even grows over time, rather than decreases, which is why they are not applicable to decreasing term policies.