Category: Retiring article

Why You Should Include Whole Life Insurance in Your Retirement Plan

Whole life insurance holds certain advantages, such as guaranteed beneficiary payouts and accumulated cash value.

When building a retirement strategy some people overlook life insurance, thinking it’s something they only need during their working years. However, you still might have others depending on you financially after you retire. Whole life insurance gives you the security of knowing your loved ones will be provided for and offers other attractive advantages.

A Guaranteed Payout to Your Beneficiaries

Employer-provided life insurance may go away once you retire . And, even if it continues into your retirement, it may not meet your financial needs. However, a whole life insurance policy from Amica Life guarantees that the coverage amount you purchase will be there no matter when you pass. As long as you pay your premium, the premium amount and coverage will never change, regardless of your age or health. Therefore, including whole life insurance in your retirement plans helps give you the peace of mind that whatever happens to your investments, your spouse or anyone else depending on you has financial support.


Whole life insurance is a permanent solution that can help cover final expenses, medical bills and even estate tax issues.


Cash Value For Unexpected Events

Whole life policies have a cash value that starts in the early years of the policy and continues growing with tax-free interest. This feature can be utilized as part of retirement planning, as you can borrow against your accrued cash value, either before or after retirement, or you can use it to pay your premium. Unlike stocks or mutual funds, your policy’s cash value isn’t subject to market losses.1

End of Life Expenses and Estate Planning

Todd Oster, assistant vice president of sales at Amica Life, explains that whole life insurance is a permanent solution that can help cover final expenses, medical bills and even estate tax issues. Or, you can use your whole life insurance to give back to a cherished charitable organization by naming one as the beneficiary on your policy. So, no matter how much is in your retirement savings, with a whole life insurance policy you’ll be able to leave behind a lasting legacy.

Options Attractive to Retirees

If you’re looking for a more flexible approach to whole life insurance, Amica Life offers different premium plans to choose from. Amica Life’s Whole Life 100 is a standard whole life policy, as premiums continue until age 100, explains Oster. The Whole Life 20 premium plan, on the other hand, gives you the option to complete your payments after only 20 years. Additionally, Amica Life’s Whole Life 65 premium plan is a great option for those who are planning for retirement early, as your policy is completely paid for by the time you reach retirement age. Either way, as long as you pay your premium, your policy is guaranteed to last as long as you live.

Amica Life also has a Terminal Illness Accelerated Death Benefit, which is included with all policies free of charge. This allows you to collect a portion of your payouts if the insured is diagnosed with a terminal illness with a life expectancy of 12 months or less.

Good retirement planning is a careful balance of what you can afford to put aside now and what you need to be financially sound when you stop working. Although pensions, 401(k) distributions and other sources of retirement income can keep you living comfortably, they may not be enough for those you leave behind. With Amica Life, you can choose from a variety of whole life insurance payment plans that are flexible based on your finances today and your future financial needs.


Call 844-753-5433844-753-5433  to talk to an Amica Life insurance specialist to find out how whole life insurance fits into your retirement plan.


  • When Is Whole Life Insurance a Good Investment Strategy?, NerdWallet, 2018.

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