There are several features that are unique to permanent insurance:
Living Benefits- Access to Cash
A policy’s cash value can be surrendered, in total or in part, for cash that can be put toward important uses like a child’s education, a business opportunity or supplemental retirement income. Also, you can borrow from your insurer at relatively low interest rates and use the cash value as collateral. The loan is not dependent on credit checks or other restrictions like loans from most financial institutions. Keep in mind that borrowing or withdrawing funds from your policy will reduce its cash value and death benefit if not repaid.
If you need to stop paying premiums, the cash value can keep your insurance protection in force for a period of time.
Cash value accumulates on a tax-deferred basis, similar to assets in most retirement and college savings plans. Death benefits paid to the beneficiary generally are not subject to federal income tax.
As long as you don’t allow your policy to lapse, you’ll have the coverage for life and won’t need to worry about being unable to afford coverage if your health deteriorates.
With many types of permanent insurance, premiums will remain constant or stable over your lifetime. With term insurance, premiums often increase as you age