Benefits

• Cash value life insurance provides a means of saving. This savings can be used anytime throughout your life for any purpose. It also provides death benefits that persist until age 100, or up to age 120 for some life insurance policies.
  
  

Drawbacks

• Permanent coverage requires premiums that are higher than term life premiums. These premium payments may also extend for longer than term premiums. Cash values do not accumulate quickly in the first 10 years of most permanent policies.
  
  

Considerations

• Permanent life insurance is a long-term contract. You need to make sure that your needs are permanent. For example, permanent life insurance is ideal for funeral costs, supplemental retirement income, and executive bonus plans for businesses.