A whole life insurance policy is a type of permanent life insurance that provides coverage for the entire life of the insured person, as long as the premiums are paid. It also has a cash value component that grows over time, which can be borrowed against or withdrawn.
Whole life insurance policies are more expensive than term life insurance policies, but they offer several advantages. First, they provide lifelong coverage, so you don’t have to worry about renewing your policy or being uninsurable later in life. Second, the cash value component can be used to supplement your retirement income or pay for unexpected expenses. Third, whole life insurance policies can be used as an investment vehicle, as the cash value component grows at a guaranteed rate.