Whole Life
What is it?
Whole Life, also known as Permanent Life Insurance, is designed to cover you for your entire life, provided premiums are paid in a timely manner. Unlike Term, they have a savings component attached, where cash value can accumulate. Interest on these accounts accrues on a tax deferred basis and can be accessed via loans or withdraws.
Benefits of WL
- Premiums & death benefits are fixed, which makes them predictable and consistent
- Offers a tax-free death benefit and tax breaks on the cash value growth
- Cash value can be utilized for anything that you desire
- Usually guarantees a minimum rate of return on the cash value