Life insurance you could put to use now

How could your family benefit from whole life insurance now?

The money you spend on permanent life insurance may be used to pay death benefits to your loved ones, or to help you financially during your lifetime. Look to whole life insurance ( to offer:

Life insurance offers lifetime protection

Whole life insurance offers level premiums and life insurance protection for as long as you live, provided premiums are paid as required to keep the policy in force. The death benefit paid by a whole life insurance policy generally passes on income taxfree to your beneficiaries. Beneficiaries typically receive the death benefit in either a lump sum or annuity payout, which is paid incrementally.

Life insurance cash value

Over time, whole life insurance provides for the accumulation of guaranteed cash value, which grows on a tax deferred basis. This cash value may be used to help cover unexpected expenses, college expenses ( or help supplement your retirement ( income. It provides another level of financial security for your family. However, unpaid loans and withdrawals will reduce the death benefit and policy cash value. Loans also accrue interest.

Policy dividends from life insurance

Whole life policies are eligible to earn dividends — a return of premium for better-than-expected performance by the insurance company. Though not guaranteed, dividends may increase a policy’s death benefit and cash value, and generally aren’t considered taxable income. When paid, there are several options on how you could have your dividends distributed from being paid in cash, increasing your policy’s death benefit, to helping offset your annual premium.

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