Is Custom Whole Life Insurance Good? 
Whole life insurance is excellent . Question to you , the reader : have your investments -LRB- Stocks , bonds , funds , 401 -LRB- k -RRB- , whatever -RRB- grown , and if so , in a straight line ? Those down years really rip apart the fabric of `` buy-term-and-invest-the-difference '' , do n't they ? A poorly understood function within the insurance-sales arena is/are the actual workings of whole life . To be sure , there are different types and qualities -LRB- and features -RRB- within the category of whole life ; but a good Mutual company , with a strong rating , structure and history can be your best friend . The premiums you pay -LRB- many balk at the size -RRB- go to both the cost of the death benefit , and also to a growing cash value , and the policy grows -LRB- in both death benefit and cash value -RRB- over time . Once the cash is in the policy -LRB- year-after-year -RRB- , the only way it goes down -LRB- for example , in a down market -RRB- is if you do something to change it . The consistency of earnings offered within these has an extremely important result in your financial planning . Further , the cash is accessible to you , while you 're alive , in a tax-beneficial way ! Next question to you : Do you understand `` arithmetic average '' ? That is used by Wall Street to glorify results of investments . Down markets and negative results eat up your cash . All of us are going into the `` distribution phase '' of our lives at some point . The money we have in our accounts will be used for our retirement , distributed as we need it . It is very important to recognize the difference in results now , and especially what it will mean for us later ... volatility is not your friend , `` meaningful '' consistency is . Last question : Do you want the life insurance to be there when you die ? Whole Life insurance is permanent , and will be . 