How Does Whole Life Insurance Work?

When you are planning for your future, life insurance should be a part of those plans. Getting term life insurance comes with a lot of advantages, making it an extremely popular way to ensure the financial future of your family. If you want term life insurance, or you have questions about it, give us a call now at AFI Insurance in Denver, CO.

Whole Life Insurance

One of the most popular features of whole life insurance is that it’s good for the rest of your life as long as you keep paying the premiums. If you keep paying them as agreed, even the insurance company can’t cancel the policy no matter how old you get. Unlike term life, it doesn’t expire at a specific date. This delivers great peace of mind to those who don’t want to have to find a new insurance policy when they get older. 

Cash Value

A whole life policy also builds up a cash value over time. Some of the amounts of the premiums paid are put into investments, and those investments yield money. Part of those returns is then made available to you as a policyholder in the form of a cash value. That cash value is there for you to borrow against when the need arises. This is another aspect of whole life that can bring you peace of mind. If you were in a financial problem, you can simply borrow against your policy. The amount borrowed is then paid back just like any loan. If the policyholder dies before it is all paid back, the outstanding amount is deducted from the death benefit. 

Get Your Own Whole Life Policy

If you want the peace of mind that this type of policy brings, give us a call at AFI Insurance in Denver, CO to find out more.