Shadow

Tag: whole life insurance

Whole life insurance – pros and cons

Whole life insurance – pros and cons

General
Provided that monthly premiums are maintained until a pre-specified age in the agreement, a whole life insurance policy is specifically designed to pay out upon death. Once this age is reached, a whole life policy continues for the remainder of the insured's life. Part of the premium goes towards providing coverage and the remainder is placed in the provider's investment portfolio. It is amongst the leading alternatives to level term insurance, which only provides coverage for a defined period of time. Advantages of Whole Life Insurance Coverage for life. Unlike term insurance, the insured will be covered for the entirety of their life. This means that they will receive a payment upon death regardless of whether they die at 25 or 90. Tax free. The payment upon death will normall...