Whole Life Insurance As An Investment at Life

Whole Life Insurance As An Investment. In fact, it's not really invested at all. That’s a tricky question because a “good” investment is relative to each person’s situation.

When your money is spread out into multiple investments, it's more likely to withstand market volatility. Life insurance policies are not investments and should not be purchased as an investment. The premiums are flexible, but not necessarily as low as term life insurance.

Tony DeChiara

Whole life insurance isn't a diversified investment even if you're new to investing, you know that diversification is good. In the most literal sense, whole life insurance is not an investment — it’s life insurance. To be clear, the vast majority of life insurance is purchased for risk management. In addition to protecting your loved ones financially, whole life insurance can serve as a useful investment vehicle.