What is the most common type of whole life insurance sold?

The most common type of whole life insurance sold is continuous premium whole life insurance. This type of policy requires the policyholder to pay premiums consistently throughout their lifetime, ensuring coverage until death or maturity. The premiums are typically level, meaning they remain the same throughout the policyholder's lifetime, making it easier for individuals to budget.

Continuous premium whole life insurance guarantees a death benefit and also accumulates cash value over time, which can be accessed by the policyholder through loans or withdrawals. This combination of guaranteed protection and cash value accumulation makes it an appealing option for many consumers, as it provides lifelong security and the opportunity for savings that grow at a steady rate.

The other options, while important types of insurance, do not represent the most common form of whole life insurance. Limited pay life insurance requires premiums to be paid only for a specified period rather than for life, which can appeal to those who want to stop paying premiums before retirement. Universal life insurance offers more flexibility in premium payments and death benefits, allowing policyholders to adjust their coverage and payments. Variable life insurance includes investment options that fluctuate in value and do not provide the same level of guaranteed growth or protection as whole life insurance.