What are the Features of a Whole Life Insurance Policy?

What are the Features of a Whole Life Insurance Policy?

What is Whole Life Insurance Policy?

Whole life insurance Policy is a type of permanent life insurance policies. An insured individual can receive death benefits through this policy. It can also ensure a guaranteed sum of money over time; which the policy holder can access and utilize. Cash value of the policy is sure to grow every year. The cash values are enhanced by dividends; declared by the insurance agency on an annual basis.

The structure of a premium can be developed as per your specifications. You can pay them in a single premium; in annual 10, 20 years, or even your lifetime. The coverage granted is guaranteed for a lifetime.

What are the Benefits of Whole Life Insurance Policy?

whole life insurance is not cheap. It can cost a lot of money for an average individual. However, the benefits that this policy provides are far too numerous to dismiss it out of hand. Such as;

  • It does not matter when the policy holder dies. The Beneficiaries of the insurance policy will receive the death benefits from the policy regardless.
  • The premiums for the policy are fixed and structured in most cases. In limited cases, the premiums can be structured to suit the insured individual’s convenience.
  • You can withdraw the funds prematurely. You can also borrow against the policy in some cases.
  • The policy is completely safe and predictable. It also ensures a positive growth.
  • The funds received through the policy are tax deferred.
What are the Premium Options in Whole Life Insurance Policy?
  • Level Premium. This is the most ordinary kind of policy option available. The insured individual pays level premiums until death. In turn the policy provides a lifetime death benefit.
  • Limited Premium. The insured individual can pay off the whole policy through premiums for a limited time but still receive the lifetime protection. The premiums are generally higher than average.
  • Single Premium. In this option, the insured individual makes a single bulk payment so the policy goes into effect immediately. This option is a safe and predictable investment. It has a guaranteed positive growth.
  • Disability Waiver / Rider. This option will pay for an individual’s policy if a sudden disability discourages the insured individual from paying off the rest of the policy.
What happens when Whole Life Insurance Policy Matures?

The whole life insurance policy offers permanent life insurance. The maturity in a policy is reached when the cash value of policy equals the death benefits. All the benefits associated with the policy will remain in force for the insured individual’s remaining lifetime. This occurs only because of matured status in the policy.

What is Whole Life Cash Value?

A small portion from the premium of your whole life insurance is set aside. This amount can accumulate over time. This accumulated fund is whole life cash value. It is tax deferred. The insured individual can borrow money against the cash value. The policy holder can liquidate the cash value. However, this is usually done if the policy holder wishes to cancel the policy.

Whole Life Insurance Policy in Dallas, Texas

SGA Financial Inc. is the best provider of whole life insurance in Dallas, Texas. Consequently, we have extensive experience in insurance sector. Regardless, we have worked to ensure the policyholders receive maximum privileges. Contact us to ensure the future of your children and beneficiaries is secure. As a result, you will not regret placing your trust in us.