Whole Life Assurance
Whole Life Assurance is a permanent life insurance and therefore applies for a lifetime. Generally, the life insurance premiums remain fixed for the entire span of the policy or limited term. Whole Life Assurance has investment benefits for the insurer since it has a cash value component, which can be made accessible through policy loans or surrenders.
This is Life-long protection cover. Hence, premiums are paid throughout your life or for a limited term, and the money including bonuses will be paid when you pas away or suffer total and permanent disability. Whole life cover can also be Single Premium Whole Life or Limited Pay Whole Life.
Limited Pay Whole Life
In a Limited Pay Whole Life, The policy itself continues for the life of the insured but instead of paying annual premiums for life, they are only due for a certain number of years, such as 10. The policy may also be set up to be fully paid up at a certain age, such as 55 or 75.
