What is a key feature of "whole life insurance" compared to term insurance?

Whole life insurance is distinguished by its inclusion of a cash savings component, which is a fundamental characteristic that sets it apart from term insurance. This cash value component grows over time as you pay your premiums, allowing policyholders to accumulate savings that can be borrowed against or withdrawn if needed. This aspect not only provides a death benefit but also acts as a financial asset that fosters long-term planning.

In contrast, term insurance purely offers a death benefit for a specified period, without any cash value accumulation. The policy is designed to provide temporary coverage, which is not an option with whole life insurance, where coverage lasts for the insured's lifetime as long as premiums are paid. The other options reflect attributes that do not align with the fundamental nature of whole life insurance, underscoring why the cash savings feature is essential to understanding the product's value.