What is the main focus of whole life insurance?

The primary focus of whole life insurance is to offer both a death benefit and a cash value component to policyholders. This type of insurance is designed to provide lifelong coverage as long as premiums are paid. The death benefit ensures financial protection for the insured's beneficiaries, while the cash value component grows over time on a tax-deferred basis, allowing policyholders to accumulate savings that they can borrow against or withdraw if needed. This dual benefit distinguishes whole life insurance from term insurance, which only provides a death benefit for a specific period without any cash value accumulation.

The emphasis on both the death benefit and accumulation of cash value in whole life insurance is crucial, as it serves both protective and savings/investment functions for the policyholder, aligning with long-term financial planning.