Whole life insurance is the type of life insurance which builds cash value inside the life insurance policy.
Whole life, also known as,
permanent life insurance provides lifetime life insurance protection, as long as you pay your life insurance premiums.
Whole may build up cash value inside the policy over time, but usually there is no cash value until you have owned the policy for at least 3 years.
Once you have cash value in tour policy you may be able to take a loan from your policy. Usually, the life insurance carrier will allow you to take a loan of up to 80% of the cash value in your policy.
The loan requires repayment with a rate of interest, which is paid back into your policy. If you do not pay the loan back, your life insurance coverage may be decreased by the amount of the loan.
