In Florida, as well as other areas of the
nation, Whole life insurance policies provide permanent life
insurance protection.
What does that mean? In a nutshell the company will
continue your insurance until your death as long as you pay your
premiums when they are due. Premiums for whole life policies are
also offered, such as ten years, or a single premium payment,
depending on the plan. This is a good product for those who have
a hard time saving because Whole life policies build cash
values. Basic cash values are guaranteed, and the growth in cash
values is tax deferred under current federal income tax law.
Whole life policies are also eligible for dividends. While Cash
values are guaranteed by the company, dividends are not since
they depend on the actual results of the company's operations.
These funds can be used during the insured's lifetime to help
meet any "living" needs like college expenses, buying a home,
emergency funds, and retirement funds.
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