What type of life insurance typically does not accumulate cash value?

Term life insurance is designed to provide coverage for a specific period, typically ranging from one year to several decades. Unlike permanent forms of life insurance, such as whole life, universal life, or variable life, term life does not build cash value over time. Instead, it offers pure death benefit protection, meaning that if the insured passes away during the term, the beneficiaries receive a payout. If the term expires and the insured is still living, there is no cash value returned or accumulated.

This makes term life insurance a cost-effective option for individuals looking for temporary coverage needs, such as for raising children or paying off a mortgage. In contrast, the other types mentioned—whole life, universal life, and variable life—are structured to build cash value over time, which can be accessed by the policyholder during their lifetime.