Whole Life Insurance

What is Whole Life Insurance?

Many people wonder what the differences are between whole life insurance and term life insurance. Whole life insurance is a type of permanent life insurance coverage that provides a guaranteed death benefit along with guaranteed* cash values. Part of each premium payment is applied to the policy's cash value account, which grows on a tax-deferred basis (based on current federal tax laws).

Whole Life Insurance

  1. Premiums are set at a certain amount and don't change.
  2. Premiums are partially determined based on the age of the insured. The younger the insured is, the less expensive the annual premium.
  3. There are guaranteed cash values or dividends that are dependant on the specific terms of the policy.
  4. The insured can borrow against cash values.
  5. Current federal income tax law allows for deferred tax advantages for some insurance policies.
  6. Whole Life Insurance provides coverage for the entirety of the insured's life, generally to age 100, as long as the policy is in force.

If you need more information about whole life insurance or still need clarification about whether you should select term or whole life insurance, call Matrix Direct. At Matrix Direct, we are an insurance service company that represents ten established, highly-rated insurance companies. Our licensed life insurance professionals listen to you, and then recommend appropriate life insurance coverage choices for you.

You can request a quote for whole life insurance online or contact one of Matrix Direct's licensed whole life insurance professionals toll-free at 800-914-8376.

*Guarantees are subject to the claims-paying ability of the issuing insurance company.


Or, learn more about these life insurance products also offered through Matrix Direct: