October 18, 2008
Is Whole Term Life Insurance Actually Insurance?
Whole Term Life Insurance is often seen more as an investment product than it is a life insurance plan. In fact, whole term life insurance is both of these things. You will have a significantly higher premium with whole term life insurance than with most other life insurance products because only part of that premium actually pays for your life insurance.
The other half of your premium paid on whole term life insurance goes into long term investment funds such as mutual funds, stocks and bonds. The whole term life insurance can be cashed in before you die for the amount of the policy plus the money you earned from the investments.