Whole life coverage policies or universal life policies combine an investment product with what is called pure term insurance.  With this type of policy, you are able to build cash value.  Whole life also makes it possible to receive dividends as it makes it possible for the policy to actually grow in value over time. Even the death benefit for those you leave behind can be increased.

Whole life is good for those who want to make consistent payment amounts each year. Those looking to contribute more over time for tax reasons also tend to favor whole life insurance policies. Most importantly, if you want to have a cash amount you can actually obtain and use while you’re alive, whole life policies are a good idea.

Whole life is used to protect your current assets for the next generation, so if this is something you need to consider, it is best to discuss your specifics with one of our experienced life insurance agents.

Did you know… With whole life insurance you cannot be denied coverage should your personal health condition change over time?

Universal life insurance has an added advantage; If your financial situation improves significantly, you can increase your premiums and build up the cash value more rapidly. On the other hand, if you find yourself under a financial strain, you can reduce your premiums, or you may even be able to deduct premium payments from the cash value of the policy. Of course, changing the premium or withdrawing part of the cash value in your policy will affect the rate at which your cash value accumulates. It may also reduce the size of the death benefit.

Also, it is good to know that a whole life insurance policy is creditor, divorce and IRS safe.