What type of insurance primarily provides coverage for an individual’s entire life as long as premiums are paid?

Whole life insurance is designed to provide coverage for the entire lifetime of the insured, as long as the premiums are continuously paid. This type of insurance combines a death benefit with a cash value component, which grows over time at a guaranteed rate. This dual feature allows policyholders not only to have the peace of mind that their beneficiaries will receive a death benefit, but also to build savings within the policy.

In contrast, term life insurance offers coverage for a specified term, such as 10, 20, or 30 years. If the insured passes away during this period, the death benefit is paid; otherwise, the policy expires without any cash value. Universal life insurance, while also providing lifelong coverage, allows for flexible premiums and death benefits, but it typically does not guarantee a fixed cash value growth like whole life does. Accidental death insurance only pays a benefit in cases of accidental death, lacking the comprehensive coverage and savings aspects associated with whole life policies.