Some people want coverage that lasts as long as they do, with level premiums and a growing cash value. Whole life insurance is permanent life coverage that remains in force for the insured’s lifetime provided premiums are paid, and that accumulates a cash value available for loans or surrender.

Premiums are higher than term insurance because they fund both lifetime protection and the savings element. Participating policies may pay dividends that can reduce premiums, purchase additional insurance, or accumulate at interest. Non-participating policies offer fixed guarantees without dividends.

Cash value grows tax-deferred under current rules in many jurisdictions and can be borrowed against, though loans reduce the death benefit if unpaid. Whole life provides certainty of lifetime coverage and a disciplined savings component, at the cost of lower early-year liquidity compared with pure investments.

• Permanent life coverage with cash-value accumulation
• Level premiums for the life of the policy
• May pay dividends on participating forms
• Offers lifetime protection and living benefits