Posted by Lindsey Connell
There are many benefits of having and keeping whole life insurance. If a family member passes away and had life insurance, then they wouldn’t have to worry about providing money to their family because they were insured. Also, there is a disability waiver that can pay insurance premiums in case of total disability. Next, some whole life insurance policies give access to death benefit values in the case of living with a chronic or terminal illness. The benefits and values of whole life insurance are also protected in many states from creditors and lawsuits which allows for the owner of the insurance to have peace of mind in knowing that there will be no legal complications. Additionally, the insurance allows other forms of capital and has the potential for tax beneficial income later in life. It may also provide an income tax-free death benefit far in excess of the premiums paid. It appears that whole life insurance really benefits those with disabilities, those who are sick, and an older class of people because it covers them for the worst case situations such as terminal problems or death, but emergencies can happen to anyone at anytime so having whole life insurance at any age is a good idea.
Thanks for sharing. In whole life insurance, the interest on cash values and dividends is free of income tax. The owner, premium payer, does not have the load of extra taxes while the policy is in force. The taxes are paid when the policy is turned in to the company for its cash value.
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