What Is Life Insurance Endowment Plan? 
Endowment plan , in the context of life insurance , can mean a few things . For example , when we design proposals for clients which involve flexible premium products such as universal life and its variations , we tend to solve for premiums based on conservative interest projections and aim at growing the cash value to `` endow '' at age 100 meaning we want the cash to grow to equal the initial death benefit purchased . Or we solve for maximum premium for a given death benefit to maximize cash values . Pure endowment policies are no longer offered in the US around 1980 due to tax code changes which declassified them as life insurance . In 1988 the term `` modified endowment contract '' was introduced into the code to further limit `` investment '' oriented life insurance . But the endowment concept is still alive and well when we design life insurance for maximum cash value accumulation within today 's limits . 