Whole life insurance does indeed build cash value over time. This cash value is a key feature of whole life policies and can serve as a source of savings or investment. The cash value grows over time through a combination of guaranteed and non-guaranteed components. The guaranteed component is based on the terms of the policy and is set by the insurance company, while the non-guaranteed component is influenced by factors such as the performance of the insurance company's investments. The cash value can be accessed through policy loans or withdrawals, providing policyholders with a source of funds that can be used for various purposes. It's important to note that accessing the cash value may affect the death benefit and could result in tax implications, so it's crucial to fully understand the terms and conditions of the policy. Overall, the cash value component of whole life insurance can provide policyholders with a valuable asset that grows over time and offers financial flexibility. It's important to consult with a financial advisor or insurance specialist to fully understand the implications of the cash value component and how it fits into your overall financial plan.