What Kind Of Life Insurance Can You Borrow Against? 
Only permanent polices that have accumulated enough cash values in excess of policy expenses and surrender charges and those are Participating whole life , current assumption universal life , indexed universal life and variable universal life . Participating whole life insurance uses policy spread loans and direct recognition loans . Universal life policies use policy loans such as zero net cost , wash loans , spread loans and participating loans . They also have two sets of loan charges : variable and fixed interest rates . And two sets of policy rates : current company practice and contractual guarantees . 