Top Life Insurance Company That Offers Non-Direct Participation Whole Life Policies in 2024

If you’re interested in finding affordable whole life insurance quotes, you may be on the hunt for life insurance companies that offer non-direct participation whole life policies.

Who wouldn’t want to save money on life insurance? Throughout this article, we’ll break down how to get whole life insurance quotes online, understanding cash value, and life insurance dividends.

In a few moments, you’ll have everything you need to identify life insurance companies that offer non-direct participation whole life policies. For now, enter your ZIP code to get free quotes from top life insurers near you.

What is the difference between non-direct vs. direct participation whole life insurance?

Whole life insurance is vastly different from the more traditional term life insurance policy. Whole life insurance is a form of permanent life insurance that accrues cash value instead of relying solely on a death benefit.

What is whole life cash value? Cash value is money that is collected with your monthly or yearly life insurance bill but is allocated to a separate account, similar to a saving account.

The idea is that the cash value will slowly accrue interest and with some policies, dividends on that cash value. To supplement, some life insurance companies allow policyholders to withdraw cash value if there’s an emergency.

How can I access cash value? This will depend on your life insurance provider, but there are different methods. In some cases, you may be able to access the cash value directly while in other cases you might take a loan out on the policy.

This is where it can be important to understand the difference between participating and non-participating whole life insurance policies. In short, a participating policy is the traditional version of a whole life insurance policy.

What does this mean for you? According to the National Association of Insurance Commissioners, a participating whole life insurance policy allows policyholders to share and earn dividends from an insurer.

With this added flexibility comes an added expense. A non-participating whole life insurance policy doesn’t provide dividends to the policyholder but does tend to be more affordable in comparison.

Read more: Non-Participating vs. Dividend Paying Whole Life Insurance

What are the top whole life insurance companies for cash value?

Many of the most popular life insurance companies offer whole life insurance. The life insurance companies that don’t offer non-direct participation whole life policies will usually offer direct participation policies and will market them.

This includes many large insurers such as:

• Foresters
• MassMutual
• MetLife
• Minnesota Life
• Penn Mutual
• SBLI
• State Farm

On the other hand, those that offer non-direct participation whole life policies usually don’t market them. This also includes many well-known insurers, but many of which are smaller and arent’ considered mutual companies.

Examples of companies that offer non-participating whole life insurance include:

• Allstate
• Cincinnati Life
• Farmers
• John Hancock
• Nationwide
• USAA

The best dividend-paying whole life insurance companies will come down to those that offer participating whole life insurance since those companies do pay dividends to policyholders.

A whole life insurance dividend calculator can help you better predict your whole life dividend history. Life insurance calculators can help you determine expenses, dividends, and more.

You can expect your performance history to be quite different between a participating and non-participating whole life insurance policy. Both policy types do offer a sense of stability with cash value accruals.

Buying Non-Participating Whole Life Insurance: The Bottom Line

Whole life insurance always builds cash value while continuing to offer a death benefit. A non-participating whole life policy is cheaper but doesn’t offer dividends as a participating whole life policy does.

By now, you should know whether you want to shop with life insurance companies that offer non-direct participation whole life policies. To get started, enter your ZIP code to get free quotes from top insurers near you.