• Whole life can be more expensive than other types of life insurance policies.
• The amount of your premiums and the face value of your whole life policy are not adjustable should your financial needs change.
• Depending on your situation, you may not need this level of coverage for your entire life and could overspend for coverage you don’t need.
• Whole life may not be a good choice if you will need access to money in the short term. Often, whole life policies come with a surrender charge period, during which you would pay a penalty if you surrender your policy.
• Your policy may need to reach a minimum value before loans are allowed.

There are a few simple questions that can help you determine if a whole life insurance policy will meet your needs:

• Do you want a life insurance policy that will last a lifetime?**
• Do you feel the potential for earning cash value over time is worth the additional premium?
• Do you have a family history of health concerns that might make it difficult for you or a loved one to secure affordable coverage later in life?
• Do you think cash value could be a future benefit for liquidity, retirement, or estate planning?
• Do you need money to cover funeral expenses or to offset the cost of inheritance or estate taxes?

If you answered yes to any of these questions, then a whole life insurance policy may meet your needs for locking in permanent coverage and benefits for the future.