What Is Paid Up Whole Life Insurance? 
Whole life insurance is life insurance that includes a cash value build up in the policy that reduces the financial obligation to the company . In other words , the client is self-funding the death benefit by a portion of the premium going to the cash value . As the cash value grows the less the company has to contribute to the face amount of the policy . The difference between the face amount of the policy and the cash values is the actual amount that the company pays upon the death of the policy holder . For a cash value policy to be paid-up the cash value build up has to reach a point where it equals the face amount of the policy . This increased funding of the cash value is why paid-up policies are much more expensive than standard whole life policies . As a financial professional , I only recommend term insurance to my clients that gives them 2-3 times the protection needed while building assets through debt reduction and investments in 401ks , IRAs and mutual funds . Keeping your investments separate from your insurance is the financially sound thing to do . If you have any questions please contact me @ 843-450-9879 or visit my website @ www.hinchfinancialgroup.com . 