What is Whole Life Insurance?
Life insurance under which coverage is intended to remain in force during the insured’s entire lifetime, generally to age 95 or 100, providing premiums are paid as specified in the policy. A whole life insurance policy can build cash value on a tax-deferred basis. Both the premiums to pay and the cash values that result are predetermined and found in the policy. The cash value is an amount of money available to the policyowner for policy loans or as the surrender value if the policy is canceled and returned to the company.
Whole life insurance is a type of insurance that will provide you with a secure, tax-deferred investment while also giving you the assurance that your family will be provided for if the unthinkable does happen. Find out if this type of insurance is right for you. What Is Whole Life Insurance? Whole life insurance is a life insurance policy that is also a way to invest money. It is referred to as a permanent life insurance policy because, as long as you pay your premiums, the policy is yours for life, providing your loved ones with a guaranteed benefit upon your death. When you purchase a whole life policy, you decide what amount you want the face value of the policy to be: this can range from as little as $1,000 to the millions of dollars, depending on your needs and what you can afford. Once your premiums, which are based on your heath, the policy’s face value and, often, your credit score, are determined, they will remain constant throughout the life of the policy. Some of the money
A life insurance contract with level premiums that has both an insurance and an investment component. The insurance component pays a stated amount upon death of the insured. The investment component accumulates a cash value that the policyholder can withdraw or borrow against.
A life insurance contract with level premiums that has both an insurance and an investment component. The insurance component pays a stated amount upon death of the insured. The investment component accumulates a cash value that the policyholder can withdraw or borrow against.
