TYPES OF WHOLE LIFE INSURANCE

Participating Whole Life Insurance
In USA the Participating Whole Life Insurance is known as with-profit policy. In this Type of policy, Insurance Company shares its profit with their Policy Holders. This Profit sharing is Called Dividend. Generally most of Insurance Company pays Dividend in Cash to their Policy Holders. This Dividend is tax-free.



Non-Participating Whole Life Insurance
Non-Participating Whole Life Insurance plan will not pay the Dividend to their Policy Holders as the Participating Whole Life Insurance can pay. But if you want low cost Whole Life Insurance then this type of Whole Life Insurance is good for you. In this type the amount of Premium will be flat till the end of this Whole Life Insurance Policy. And the other benefit is that other valuable factors like death benefits, low premiums are strongly carry out by the Insurance Company for this type of Whole Life Insurance.


Limited Pay Whole Life Insurance
This Whole Life Insurance protects you for lifetime with Limited premiums. Limited Premiums means you have the choice that for how many years you can premium or how many numbers of premiums you can pay. E.g. At Present time you are 48 year old, you will retire at the age of 58. So you can set your premium mode to pay the premiums till the age of 58. But the amount of each premium is higher than the other types of Whole Life Insurance plans.


Single Premium Whole Life Insurance
As its name, you have to pay once and you are secured for life time. But the amount of the Premium is very high. After you paid premium, there is no remains any payable amount to the Insurance Company. People who not want to pay time to time and no problem of money they will choose this one. Rarely any person can afford this Whole Life Insurance Plan so it is unpopular than other Whole Life Insurance Plan.


Indeterminate Premium Whole Life Insurance
In this Whole Life Insurance the amount of Premium is flexible. Insurance Company calculates the amount of Insurance Premium on the base of some factors like Company’s approximately earnings, Expenses, death rate ECT. At the time of selling Insurance Policy Insurance Company take on Premium at the Current rate as per those factors. After some years the estimated factors may change then Insurance Company will also change the amount of premium. Company can increase or decrease this amount. But the Insurance Company cannot increase the premium than they had declared in Policy as the Maximum Guaranteed Premium.


Level Premium Whole Life Insurance
As the name suggest, you have to pay equal amount of premium each premium. It is a type of Whole Life Insurance, the premiums should be continuing for lifetime to keep protection. In this Life Insurance plan the amount of Insurance Premium is very low, so that it is affordable for all.


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