How Do You Borrow Money From Your Whole Life Insurance? 
You can contact the insurance company to request to borrow funds from the policy -LRB- your company 's policyholder services department should be able to handle it - they may request you complete a form for written documentation purposes -RRB- . The maximum amount you can borrow is up to the current surrender or loan value cited in the policy at the time you want to borrow from the cash value . Keep in mind , when you borrow money from the cash value , you are creating a loan against the policy -LRB- the funds are expected to be paid back and , much like you do when borrowing from a bank , an interest rate is being charged on the borrowed monies -RRB- . If the insured dies with an outstanding loan , the carrier will deduct the outstanding amount and any interest charges from the death benefit and give the difference to the beneficiary . I would recommend consulting with your agent before borrowing from the cash value to find out what will happen when you create a loan against the policy and what you 're responsible for . I hope the information is helpful - please feel free to contact me for help or if you have any other questions . Thanks very much . 