Whole Life Insurance

Unlike a term life insurance policy, a whole life insurance policy protects you and your family for your whole life. Whole life insurance policies also include accumulated cash value that can benefit you throughout your life.  

Cash value

In addition to providing for your family after you die, a whole life insurance policy builds cash value you can access as a loan or withdrawal at any time (based on the amount available).² When you buy whole life insurance, part of the premium is set aside to grow into cash value, similar to building equity in your home.

The accumulated cash value is yours to use for things like those listed above or for other needs like supplemental retirement income.² Although whole life insurance is not an investment or a retirement plan, the cash value from your policy can be used to diversify your portfolio and provide extra security for you and your family. 

Whether you tap into the accumulated cash value during your lifetime or your family relies on the death benefit to cover expenses, this versatile policy is often used for:

• Mortgage or rent
• Education
• Medical bills
• Funeral costs
• Lost income
• Financial emergencies

You choose how much money you want to leave your loved ones, which is known as the death benefit.

Premiums are based on your age and health when you buy the policy and are generally lower when you’re younger. As long as you make all the payments and don’t cancel the policy, it’s yours for the rest of your life. The ability to lock in whole life insurance rates at a young age is a really big deal – and it can save you money in the future. You can decide which payment option works best for you.

• 10-pay life – payments end after 10 years
• 20-pay life – payments end after 20 years
• Life paid-up at 65 – payments end at age 65
• Executive whole life – payments end at age 95
• Single premium whole life – one lump sum premium payment

Whole life insurance dividend

Another feature is the whole life insurance dividend. The dividend is a payment that you, as a client, can receive from your whole life insurance policy, as determined by COUNTRY. Whole life insurance dividends are not guaranteed, but if you receive one, it can be used to: 

• Reduce future premium payments
• Purchase additional death benefit
• Reduce loan balance or interest, if applicable 

Life evolves and so does your need for financial protection. If you can relate to any of the items below, it would be a good idea to consider whole life insurance:

• If you’re in the early years of a career with big earning potential; buying whole life insurance when you’re young costs less and locks in the lower rate.
• If you want to leave a financial legacy, a whole life insurance policy can provide for family members and/or your favorite charitable organization.
• If you own a business and want to provide liquid assets for your family or your company.
• If the idea of cash value and potential dividends appeals to you (however, this shouldn’t be the primary reason for choosing whole life insurance). 

You might have heard about insurance “riders” and wondered what they are. They’re simply add-ons that allow you to customize your policy to your needs. Here are the features you can add to your whole life policy for an extra cost. 

Accelerated Death Benefit

This lets you access a portion of your policy’s death benefit while you’re still alive to help ease the financial burden that often comes with a chronic or terminal Illness³. This would then reduce (or eliminate) the death benefit available for your loved ones. There is no additional cost for this feature. 

Accidental Death Benefit

A specified additional amount will be paid if you die as the result of an accident prior to age 70. 

Child Term Life Insurance

Choose up to $50,000 of term insurance for each of your kids ages 0-17. In addition to current coverage, it gives them the opportunity to convert the policy to whole life insurance at age 23 without additional medical exams.

Disability Waiver of Premium Rider

If you become disabled before age 65 and can’t work for a specific period of time, you won’t have to make premium payments in order to keep your life insurance policy active. It gives you one less thing to worry about when dealing with a serious illness or injury. 

Guaranteed Insurability Rider

Guarantees you the right to purchase additional whole life insurance protection – without a medical exam – every three years between ages 22 and 43. 

Indexed Dividend Feature Rider

For no additional cost, this rider can be added onto your whole life insurance policy to potentially increase its dividends and growth. Depending on how much of your dividend you allocate to this rider and index performance, you could possibly double your dividend.  Since this rider is tied to index performance, there’s also a chance you could lose your dividend. If you choose not to allocate anything to the rider, your dividend would not be affected. Keep in mind that dividends are not guaranteed. 

Paid Up Additions Rider

This provides the opportunity to purchase additional paid-up whole life insurance and build more cash value. 

Insured Term Rider (Term life insurance for you or your spouse)

Adds 10, 15, 20, or 30-year term life coverage to your whole life policy for you or your spouse. If you have a need for a large amount of coverage but can only afford a moderate amount of whole life insurance, adding term life insurance can help you bump up the total death benefit available in a cost-effective way. Before this additional term ends, you may be able to convert it to a permanent life insurance policy without a medical exam. 

Your representative will help you choose the right policy type, amount and payment option. They’ll also walk you through the application process, which will include filling out a few forms, answering some health questions and possibly being asked to complete a basic medical exam.

Depending on your coverage needs and policy choice, you may be able to skip the medical exam with our simplified or accelerated underwriting process! Ask your representative if you qualify for a no-exam application.