In the life insurance market, increasing whole life insurance and ordinary whole life insurance have always been popular product choices. There are some obvious differences between the two. How should we choose? Next, professional insurance planners will give you an in-depth interpretation of the differences between the two to help you make wise decisions.

1. Changes in the amount of insurance: wealth continues to increase over time

The amount of insurance for traditional whole life insurance usually remains unchanged, while the amount of insurance for increasing whole life insurance will increase over time. This means that as you age, your insurance amount is also increasing year by year, fully coping with the risks brought by inflation and ensuring the actual value of the insurance.

2. Leverage effect: the difference between early and late periods

In the early stage, the leverage effect of traditional whole life insurance is higher, which means that the same premium can get a relatively high compensation amount. However, the leverage effect of increasing whole life insurance is lower in the early stage, but its leverage effect gradually increases over time. This means that for customers with long-term protection needs or who want to protect growing amounts, increasing whole life insurance is more suitable.

3. Product use: both protection and financial management

Traditional whole life insurance mainly focuses on family protection and wealth inheritance. The increasing whole life insurance not only has the protection attributes of traditional life insurance, but also incorporates the stable financial management attributes. By purchasing increasing whole life insurance, you can not only provide long-term protection for yourself and your family, but also realize the preservation and appreciation of wealth.

4. Cash value and surrender benefits

The cash value of increasing whole life insurance grows faster than ordinary whole life insurance. In just a few years, its cash value may exceed the total premium paid. This means that when you need funds,