Enrolled Agent-licensed to practice before the IRS, Samuel N Smith, EA, South Carolina
Whole Life insurance is called whole life because you never "pay up" and the premium is due each month as long as you live. The exception to that rule is you get the insurance company to use some of the cash value to make the payments for you which is then treated as a policy loan which is then deducted from the death benefits at your death.
President, Lane Independent Agency, Southern California
New York Life provides options for exactly this situation. Say you do not want to pay premiums the rest of your life. Or say you want to give a gift to your grandchildren. This is exactly why New York Life, America's oldest, largest, and highest rated life insurance company, created Custom Whole Life. With New York Life's Custom Whole Life, you can arrange to pay premiums for a fixed number of years, to continue your policy, or the policy of whomever you are gifting it to, say your grandchildren. After that fixed number of year, the entire Life Insurance Policy will have been paid in full, and paid with a reduced amount of premium dollars! How does New York Life do this? The sooner they have the money, the quicker it can be invested by New York Life, building growth and compounding the interest. Yes, the premium for those first few years will be higher than under regular whole life, but it will quickly disappear completely and the policy will be paid in fully, requiring no further premium payments ever from anyone! This sounds like exactly what you are looking for.
You can choose to pay Whole Life for the rest of your life, or you can choose to have it paid up at a set time. You can even choose to purchase some whole life policies with one premium, called Single Premium Whole Life.
Premiums are proportionately larger, the shorter the time you choose to pay them. Shop around for a Whole Life policy that offers the options you desire, at a premium you can afford.
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Premiums are proportionately larger, the shorter the time you choose to pay them. Shop around for a Whole Life policy that offers the options you desire, at a premium you can afford.