Welcome to
Whole Life Insurance
Building Wealth and Protecting Your Legacy
What is Whole Life Insurance
Whole life insurance is a type of permanent life insurance that provides coverage for the entire lifetime of the insured individual, as long as premiums are paid.
Unlike term life insurance, which offers coverage for a specified period, whole life insurance offers lifelong protection and includes a cash value component that grows over time.
This cash value accumulation provides policyholders with an additional financial asset that can be accessed during their lifetime through policy loans or withdrawals.
Why Whole Life Insurance
Whole life insurance offers a combination of lifelong coverage and cash value accumulation, making it an attractive option for individuals seeking both protection and wealth accumulation.
One of the primary reasons people choose whole life insurance is its guarantees. Whole life policies offer guaranteed premiums, death benefits, and cash values, providing policyholders with stability and predictability over the long term.
Additionally, whole life insurance serves as a versatile financial tool that can be used for various purposes including income replacement, wealth transfer, estate planning, and supplemental retirement income. It provides peace of mind knowing that your loved ones will be financially protected and that you’re building a financial legacy for future generations.
How does Whole Life Insurance Work
Whole life insurance works by providing coverage for the insured’s entire lifetime, with premiums typically remaining fixed for the duration of the policy.
A portion of the premium payments goes towards the cost of insurance coverage, while the remaining portion is allocated to the cash value component of the policy. Over time, the cash value grows tax-deferred, based on a predetermined interest rate set by the insurance company.
Policyholders have the option to access the cash value of their policy through policy loans or withdrawals, which can be used for various purposes, such as supplementing retirement income, funding education expenses, or covering emergency expenses. Any outstanding loans or withdrawals reduce the death benefit payable to beneficiaries upon the insured’s death.
Who may need Whole Life Insurance
Individuals Seeking Lifelong Coverage
Individuals who want to ensure that their loved ones are financially protected for their entire lifetime, regardless of when they pass away.
Wealth Accumulation
Individuals looking to build tax-deferred cash value over time as a supplemental source of savings or investment.
Estate Planning
Individuals seeking to transfer wealth to future generations or cover estate taxes efficiently.
Business Owners
Business owners looking for a financial tool to fund buy-sell agreements, key person coverage, or provide executive benefits.
Supplemental Retirement Income
Individuals seeking additional sources of income during retirement through policy loans or withdrawals.
Whole Life Insurance Advantages and Disadvantages
Advantages
Lifelong coverage, providing protection for the insured’s entire lifetime.Guaranteed premiums, death benefits, and cash values, offering stability and predictability.Cash value accumulation that grows tax-deferred over time, providing a supplemental source of savings or investment.Flexibility to access cash value through policy loans or withdrawals for various financial needs.Can be used for income replacement, wealth transfer, estate planning, and supplemental retirement income.Disadvantages
Higher premiums compared to term life insurance, which may be a barrier for some individuals.Limited flexibility in premium payment options, with fixed premiums for the duration of the policy.Cash value growth may be lower than alternative investment options, depending on market conditions and interest rates.Policy loans or withdrawals reduce the death benefit payable to beneficiaries and may incur interest or fees.Complexities associated with understanding policy features, costs, and benefits.Whole Life Insurance Tools and Resources
FREQUENTLY ASKED QUESTIONS
Life cover, also known as life insurance, provides financial protection to your loved ones in the event of your death. It offers a lump sum payment to the beneficiaries, helping them maintain their financial stability and cover expenses such as funeral costs, mortgage payments, and everyday living expenses.
EMAXONELIFE offers a range of life insurance products to cater to different needs and preferences. Our life insurance options include term life insurance, whole life insurance, universal life insurance, (IUL) indexed universal life, long term care insurance, disability insurance, and annuity products. Each product provides unique features and benefits allowing individuals to choose the coverage that best suits their requirements.
EMAXONELIFE offers life insurance coverage to a wide range of individuals. Eligibility requirements may vary depending on the specific policy and coverage selected. Generally, anyone who meets the following criteria can apply for life insurance:
Must be of legal age (18 years or older)Must be a citizen or permanent residentMust meet the underwriting standards set by EMAXONELIFE, including health and lifestyle factors.Some policies may have additional eligibility criteria or restrictions, which can be discussed with an EMAXONELIFE Insurance Advisor.
Minors
Working professionals
Stay-at-home parents
Seniors
Business owners
Individuals with financial dependents
Homeowners with mortgages
Individuals seeking to protect their loved ones financially