Whole life insurance is a type of permanent life insurance that provides coverage for the entire lifetime of the insured person. Unlike term life insurance, which provides coverage for a specific period of time, whole life insurance remains in effect as long as the premiums are paid. It offers both a death benefit and a cash value component. The death benefit is the amount of money that is paid out to the beneficiaries upon the death of the insured person. The cash value component, on the other hand, is a savings or investment component that grows over time. Whole life insurance policies typically have higher premiums compared to term life insurance policies, but they also offer additional benefits such as the ability to borrow against the cash value or even surrender the policy for its cash value. The cash value component of a whole life insurance policy grows tax-deferred, meaning that you don't have to pay taxes on the growth until you withdraw the money. It's important to note that whole life insurance is a long-term commitment, and it may not be suitable for everyone. It's always a good idea to consult with a financial advisor or an insurance specialist to determine if whole life insurance is the right choice for your specific needs and financial goals.