What type of policy requires premiums to be paid for the entire life of the insured?

Whole life insurance is designed to provide coverage for the entire life of the insured, as long as premiums are paid consistently. This type of policy is characterized by its fixed premiums and a guaranteed death benefit, which means that the policy remains in effect until the insured passes away, regardless of age.

Whole life policies also build cash value over time, which can be borrowed against or withdrawn during the lifetime of the policyholder. This contrasts with practices seen in other types of policies, such as term life insurance, which typically provides coverage for a specified period and does not accumulate cash value. Options like universal life insurance offer more flexibility with premium payments and death benefits but do not require payments for the insured's entire life if the policyholder chooses to use the cash value to cover premiums. Endowment policies are designed to pay out a benefit at a specific time or upon the insured's death, but they also do not require premiums for the entirety of the insured’s lifetime.

The requirement of paying premiums throughout the insured's life is a defining feature of whole life insurance, establishing it as a secure, long-term financial planning tool for families and beneficiaries.