Protection for
a lifetime.
Whole life is designed to protect your loved ones for life, with scheduled premiums and cash value. Keeping that protection means meeting the policy’s payment requirements.
One policy.
Two important parts.
The death benefit is the amount payable to your beneficiaries after a covered claim.
Cash value develops inside the policy. It has its own rules for access and is not a separate bank account.
Keep the distinction in mind. It makes the rest of the policy easier to understand.
See what changes
over time.
A policy’s guaranteed values follow its contract. Time is part of the design, but an illustration is not a promise of extra returns.
Set out in the policy, subject to its conditions.
May be paid by participating policies. Not guaranteed.
Ask to see both separately, including early surrender values.
Early cash value may be small. Check the guaranteed values and what you would receive if you ended the policy.
What happens if
my plans change?
Use the same policy to explore three different situations. Each choice affects what you keep, what you receive, or what you owe.
Access a loan. Understand the effect.
You may be able to borrow against available cash value. This is a loan with interest, not a free withdrawal.
Outstanding loans and interest can reduce the death benefit. Too much debt can cause a lapse and possible taxes.
How would this loan change my values and the risk of losing coverage?
Options depend on your contract. Texas Department of Insurance: policy loans and surrender
Cash value generally is not paid separately on top of the death benefit.
Educational example. The contract and riders determine the amount payable.What reaches
the people you love?
For a covered claim, beneficiaries generally receive the payable death benefit. The cash value usually is not added as a separate payout.
Outstanding policy loans and interest can reduce that benefit. Policy terms and any riders determine what is payable.
Name your beneficiaries and review them when your life changes.
A chapter of protection,
or a lifetime?
Start with the need you want to cover and how long it will last. Then compare the commitment.
Reasons to explore term
Income replacement, a mortgage, or support while children depend on you.
Discuss: How long will this need last?Reasons to explore whole life
A lifelong dependent, a lasting legacy, or a need for permanent protection.
Discuss: Can I maintain the long-term payments?Educational information, not a personalized recommendation.
Know the details
before you decide.
A good conversation makes the guarantees, costs, and conditions clear.
