Premiums for whole life may be level increasing, or decreasing. Some of the most common types of whole life Insurance policies. . .
Ordinary life is the oldest form of life insurance protection.
The policy builds up cash value and, if it is a participating contract, it also pays dividends. OL provides a specified death benefit that is paid to the beneficiary when the insured dies. Premium payments can be fixed for a number of years or until the insured reaches a certain age. Since 65 is normal retirement age, this is an attractive policy for people who want to stop paying premiums once they retire. Graded premium life provides a level death benefit for the lifetime of the policy and builds up cash value, but premium payments are NOT level.