Whole Life- A form of permanent life insurance, whole life insurance features guaranteed premiums, death benefits, and cash value. Whole life insurance policies also give you the potential to receive dividends, which can increase the value of the policy when the insured is living or provide an increased death benefit for your beneficiaries.
You may want to purchase a whole life insurance policy if you want:
- Protection for life1
- Payments that stay the same each year
- To be able to put additional money into the policy on a tax-favored basis
- Cash value you can use while you are living2
Whole life insurance offers confidence through the guarantees it provides:
Guaranteed level premiums. The premiums you pay are guaranteed to remain the same for the life of the policy, regardless of age or health.
Guaranteed death benefits. Beneficiaries will receive at least the face amount of the policy upon the death of the insured, assuming you do not have outstanding policy loans and that the policy premiums are paid on time.
Guaranteed cash value. Your cash value will grow each year, tax-deferred, until it matches the face value of your policy. When you need it most, you’ll have access to your cash through loan and withdrawal options
Universal Life- Most universal life insurance policies provide the flexibility to build your policy’s cash value or focus more on guaranteed protection.
Choose from two policy designs:
Guaranteed Protection lets you choose the length of the protection guarantee and the premium payment schedule up
front-both are then guaranteed not to change so long as the premiums are paid as planned.
Cash Accumulation allows you to change, within limits, your premium payments and death benefit. It also allows you to set aside additional money in a tax-deferred way to help you meet long-term financial goals.