Whole Life Insurance

This life insurance policy covers an entire lifetime, and will provide the benefits to beneficiaries at death no matter when it occurs.

Generally, these policies have higher premiums, which can be paid over the course of a lifetime, or during set terms. They pay out annual dividends which can be a great benefit, but they are more expensive than other options, and therefore not ideal for everyone

Use: The savings component accumulates cash, which is one key element plus it may have important tax advantages