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What are the differences between whole life policy and endowment policy?

      

Distinguish between a whole life policy and endowment policy.

  

Answers


Maurice
(i) For whole life policy, compensation is paid after the death of the assured while compensation is paid after the expiry of an agreement period for endowment policy.

(ii) Premiums are paid throughout the life of the assured for whole life policy while premiums are paid only during an agreement period for endowment policy.

(iii) Benefit goes to the dependents rather than the assured for whole life policy while the assured benefit unless death proceed the expiry of the agreed period for endowment policy.

(iv) Whole life policy aims at financial security of dependents while endowment policy aims on financial security of the assured and dependents.
maurice.mutuku answered the question on June 30, 2017 at 13:43


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