Whole life insurance is one of the two main types of this insurance that are available on the market. Whole life insurance works much differently from the other type, term life. There are advantages and drawbacks to this type of life insurance, and it’s good to understand how it works before deciding on a type of policy. If you are interested in life insurance, call us at Michael Taylor Agency in Columbia, SC.
Coverage for Your Whole Life
A whole life policy stays viable for your whole life, no matter how old you get. This is a popular type of life insurance for this reason, with many people appreciating the idea that they will never have to get another policy. There is an expiration date for those who get term policies, but this doesn’t happen with a whole life policy. When you are at an advanced age, this type of policy generally costs more than getting a term life policy. However, there is another value to be found in this type of coverage.
Whole life policies build up a cash value that accumulates over time. This generally starts a few years into the policy. The premiums that policyholders pay for their policies are invested by the insurance company, and a profit is made on them. With a whole life policy, a small percentage of those profits are put into a growing fund that you can borrow against. Many policyholders choose this type of insurance in part because there is this cash value that could come in handy if they ever have a financial emergency.
Get Whole Life Coverage
If you’re interested in a whole life policy, call us today at Michael Taylor Agency in Columbia, SC. Going without life insurance works against protecting your family.