A whole life insurance is a type of insurance plan that provides an extended life coverage until the death of the policyholder. In most cases, a whole life insurance policy stays in force all throughout the policyholder’s life, given they regularly pay the premiums.
Under a whole life insurance policy, the sum assured or the life cover gets decided during the time of policy purchase, and the same is paid to the policy nominee at the time of claim – when the life assured (policyholder) dies.
Usually, for most whole life insurance policies, the standard maturity age is 100 years, and in case the policyholder passes away before completing 100 years, then the sum assured is paid out to the nominee. However, in case the policyholder outlives the age of 100 years, then the insurance provider pays out the matured endowment coverage to the policyholder.