What is participating whole life insurance?
Participating whole life insurance is a type of life insurance policy that offers you permanent coverage with flexible, tax-efficient dividend options to grow your estate or access cash when you need it.
These policies feature:
- A guaranteed premium amount that will remain the same for your chosen payment period
- A guaranteed basic death benefit
- A guaranteed basic cash surrender value 💡
Here are four key benefits
1. You can preserve and enhance the value of your estate
The value of your estate is protected by the insurance proceeds, which can be used to pay taxes on your death so you can maximize the value of your estate for your loved ones.
The increase in the death benefit allows you to leave more money to your loved ones.
2. You can access cash surrender values during your lifetime
The policy’s growing cash surrender values could allow you to:
- Enhance your retirement income1
- Finance your children's or grandchildren's post-secondary education1
- Seize investment opportunities1
3. You can protect your business
Being insured enables you to better manage the risks related to losing a key person in your company. Plus, having access to the growing cash value of your policy could help you:
- Finance development projects1
- Enhance the retirement income of a shareholder or partner1
- Diversify your assets while minimizing your tax liability
4. You can make a donation to an organization of your choice
Increasing coverage allows you to supplement the amount given to a charity to keep up with inflation, without affecting your other estate planning goals.