Whole Of Life Assurance
Unlike term assurance, a whole of life policy provides life assurance cover for the whole of a person’s life from the date of inception, and guarantees to pay the sum assured on the death of the life assured, whenever it occurs.
It therefore provides permanent protection. Since providers of whole of life assurance must pay out on the death of every life assured, they need to include an investment element in the premiums of whole of life policies.