Why Would I Buy Whole Life Insurance? 
Believe it or not , there are some people out there who are very happy they bought whole life insurance :-RRB- . I can think of two in particular . These fellows are both in their late 50s . They have been in business together for over 30 years . As a matter of fact , they grew up together . They run a very successful catering business . They each bought a whole life policy when they were first starting out in their career . They each had just gotten married , and were intent on starting a family and growing a thriving business together . The each qualified for one of the best underwriting classes , and were prepared to make a commitment to keep paying the premium . They each chose a blue-chip company with a history of paying big dividends consistently . Now fast forward 30 years . As you might imagine , there is a ton of money inside those policies . And it keeps growing . The guaranteed interest rate is better than anything else you can find . The size of the dividends are also extremely competitive for a conservative product . They each were smart in managing their money . They have other funds available for emergencies , for growing their business , for recreation , etc. . So they can just let their insurance account value grow and grow . When the time is right , they can draw down a pretty significant cash flow . And you know what ? If worked out correctly , they wont have to pay a dime of taxes on that money ! If they do have an emergency , then the cash in that account can be available within days . No credit check , no hassle . Again , with the proper guidance , they can avoid taxation and still secure the survivor benefit needed . In the case of these two successful gentlemen , whole life worked out just fine . 