Permanent coverage that never expires, guaranteed cash value that grows every year, and a death benefit your family can count on — no matter when it's needed.
Every feature is backed by the carrier's claims-paying ability. These are contractual guarantees — not projections.
The death benefit is guaranteed to your beneficiaries as long as required premiums are paid — it never decreases and never expires.
Cash value grows at a guaranteed rate every year — tax-deferred. You can borrow against it or access it via policy loans without surrendering the policy.
Your premium is set at issue and stays level for life — never increases, never adjusted based on claims, age, or market conditions.
Participating whole life policies may pay dividends, which can be used to reduce premiums, purchase additional coverage, or accumulate at interest. Dividends are not guaranteed.
Policy guarantees are subject to the claims-paying ability of Tower Hill carrier network carrier partners. Policy loans and withdrawals may reduce death benefits and policy values and may have tax consequences.
Dividends on participating policies are not guaranteed and are declared annually by our carriers' Board of Directors based on company performance.
Whole life insurance is permanent life insurance that provides a guaranteed death benefit for life, as long as premiums are paid. It also builds guaranteed cash value over time. Unlike term insurance, it never expires and has a level premium that never changes.
A portion of each premium you pay goes into a cash value account that grows at a guaranteed rate, tax-deferred. Over time, you can borrow against this cash value (policy loans) or make partial withdrawals. Policy loans accrue interest and unpaid loans reduce the death benefit.
Participating whole life policies are eligible to receive dividends when the carrier performs well. Dividends can be taken as cash, used to reduce premiums, purchase additional paid-up insurance (increasing the death benefit), or left to accumulate at interest. Dividends are not guaranteed.
Whole life insurance is not primarily an investment product — it is a protection product with a guaranteed savings component. The cash value grows conservatively and tax-deferred. It is best suited for people who need permanent death benefit protection and want a disciplined, guaranteed savings component as a secondary benefit.
Choose whole life when you have a permanent need for coverage — estate planning, legacy transfer, final expenses that will exist regardless of age, or when you want to build guaranteed cash value. For temporary obligations like a mortgage or income replacement during child-raising years, term life is typically more cost-effective.
When you pass away, your beneficiary receives the death benefit. In a traditional whole life policy, the insurer retains the accumulated cash value. However, some policies offer an enhanced death benefit option that includes the cash value. Review your policy specifications and discuss options with your advisor.
Every premium payment works on two levels simultaneously — protecting your family today and building guaranteed wealth for tomorrow.
Underwriting sets your health class and locks in your level premium — the same payment for life, regardless of future health changes.
Each payment covers your cost of insurance and deposits the remainder into your policy's guaranteed cash value account.
The cash value grows at a guaranteed rate every year, compounding tax-deferred. Participating policies may also earn annual dividends.
When you pass away, your named beneficiaries receive the full death benefit — income-tax-free — regardless of how long you've held the policy.
Both have a place in a complete financial plan. Here's how they differ.
| Feature | Whole Life | Term Life |
|---|---|---|
| Coverage Duration | Lifetime | 10–30 years |
| Premium | Level, never changes | Level for term period, then ends |
| Cash Value | ✓ Guaranteed growth | ✗ None |
| Death Benefit | Permanent, guaranteed | Expires with the term |
| Dividends | ✓ Possible (not guaranteed) | ✗ None |
| Policy Loans | ✓ Available | ✗ Not available |
| Best For | Legacy, estate planning, permanent needs | Mortgage, income replacement, temporary needs |
| Cost | Higher — permanent protection + savings | Lower — pure protection only |
Policy terms and cash value growth depend on the carrier and specific product selected. Speak with a licensed advisor for a personalized illustration.
Speak with a licensed advisor about how whole life fits your long-term plan — or get a quote to see what coverage would cost at your age today.