Whole Life Insurance: Best Plans, Benefits & Eligibility

What’s remarkable about this type of policy is that it not only provides a guaranteed payout to your beneficiaries but also builds a cash value over time. This gives you a financial cushion for emergencies or long-term goals.

In a rapidly evolving world, having the security of a whole life policy brings peace of mind as your family's needs — like paying off debts, funding education, or maintaining their lifestyle — are covered. Whether you’re planning to leave a legacy or looking for a reliable safety net, this page will guide you through everything you need to know about whole life insurance in the UAE and how to choose the best plan for your needs.

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Whole Life Insurance: What is It?

Whole life insurance provides lifelong coverage as long as you continue paying the premiums.

Unlike term life plans that secure you for a specific tenure, a whole life policy assures a payout regardless of when you pass away. This way, your family receives a lump sum payment and gets financial support when needed. Think of it as a constant safety net that secures your family’s financial future and brings peace of mind.

In the UAE, the primary advantage of a whole life plan is its lifetime protection. It provides financial support after your passing and helps you leave a legacy for your family

Whole Life Insurance	Term Life Insurance
Offers coverage for your entire life	Usually covers life for a specific tenure (ranging from 5 years to 35 years)
Offers survival benefits and cash value that accrues with time	No survival benefits if the life assured survives the policy tenure
Ideal for those who require lifelong protection, returns with coverage, and savings	Appropriate for those seeking affordable coverage to protect their loved ones for a specific period
Includes death benefits and a savings component	Only death benefit provided
Higher premiums due to the build up of cash value	Lower premiums

Types of Whole Life Insurance in the UAE

Non-Participating Whole Life Insurance

Offering a guaranteed death benefit without dividends as the policyholder pays a fixed premium, it is ideal for those who prefer stability and predictable costs.

Participating Whole Life Insurance

It provides dividends as per the insurance company’s surplus earnings, which can be used in multiple ways. Though dividends aren’t assured, it offers the potential for higher returns but comes with higher premiums.

Level Premium Whole Life Insurance

Here, the policyholder pays fixed premiums for life, with early payments covering future costs. It is suitable for those who want consistent costs over time.

Limited Payment Whole Life Insurance

As the name suggests, the premiums are paid for a limited period (e.g., 10 years) but coverage lasts a lifetime. It is appropriate for those who want to pay off insurance during their peak earning years.

Single Premium Whole Life Insurance

It has a one-time payment that fully funds the policy. This option is ideal for individuals with significant upfront funds.

Indeterminate Premium Whole Life Insurance

Premiums change yearly based on the insurer’s financial performance. While this option offers potential savings, it also requires attention to fluctuations.

Here are some other categories of whole life plans in the UAE —

Pure Protection Whole Life Insurance - These plans provide lifetime coverage. However, medical history is reviewed during the application — serious health conditions may result in higher premiums or rejection.
Investment-Linked Whole Life Insurance - This combines life insurance with an investment component:
- With-Profits Policies - Premiums are invested by the insurer to generate returns for the payout
- Unit-Linked Policies - This lets you choose investment funds based on risk preference, though fund values can fluctuate, with regular updates provided

Key Features and Benefits of a Whole Life Policy

A whole life insurance plan is worth buying if you want an investment quotient along with the life cover.

Lifelong Critical Illness Cover

Whole life insurance is beneficial for those concerned about major illnesses like heart attacks or cancer in old age.

Treatments for such illnesses can quickly drain retirement savings. However, critical illness coverage is usually included as a rider in these policies, which protects your savings and helps you maintain financial independence during recovery.

Most plans in the UAE offer critical illness coverage up to the age of 95 years, making it an excellent option for long-term peace of mind.

Leaving a Legacy

Whole-of-life insurance is a cost-effective way to create a substantial inheritance for your loved ones. Instead of saving and investing for years, you can ensure a large legacy through this plan at a fraction of the cost.

Affordable for Young Buyers

If you’re under 40, purchasing a whole-of-life plan with critical illness coverage is an affordable way to secure lifelong financial protection.

Flexibility

Whole life insurance in the UAE offers flexibility to adjust premiums and coverage, usually after 2 years. You can add or remove riders such as disability benefits or accidental death coverage.

During financial challenges, you can also utilise the cash value of the plan to take a premium break while maintaining coverage.

Cash Surrender Value

These plans include an investment component, allowing you to surrender the policy for cash if you no longer need the coverage. Early surrender may yield low returns, but waiting until age 70 or 80 can result in a significantly higher cash value compared to the premiums paid.

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Best Whole Life Insurance Plans in the UAE

On Policybazaar UAE, you can find the best whole life insurance policies from various providers in the UAE in one place. Some of the top plans include —

Zurich Futura	MetLife Future Protect
Here are the key features of this whole life policy — A unit-linked policy with the flexibility to secure the life assured and their family for their entire life. Its standard benefits include — Life cover Terminal illness Second medical opinion Aeroplane cover Funeral coverage Life event increase option Optional benefits — Accidental death benefit Critical illness benefit or Cancer cover Family income benefit Dismemberment benefit Fixed-term income benefit Hospitalisation benefit Waiver of premium Permanent and total disability Apply Now	This whole life insurance policy offers customisation features to meet your future needs — Loss of life benefit (single life or joint life) Second medical opinion MetLife discount card (offered only to residents) Terminal illness benefits Optional benefits - Accidental loss of life Permanent partial disability Hospitalisation benefit Accelerated critical illness Waiver of premium benefit in case of loss of life or disability Permanent and total disability Apply Now
Sukoon Life Protect (Conventional)	Sukoon Family Takaful Protect
The key benefits include — No lock-in period Loyalty bonus Covers whole life up to the age of 95 years Flexibility to change your level of life cover and premium Optional benefits — Permanent and total disability Critical illness Premium waiver benefit Accidental death benefit Hospital care rider Apply Now	This whole life plan covers the insured’s life up to the age of 95 years. Find below its major benefits — Investment in Shariah-compliant funds from global markets No restrictions on the number of switches No lock-in period Optional benefits — Permanent and total disability Critical illness Premium waiver benefit Hospital care rider Aeroplane cover Accidental death benefit Accelerated terminal illness benefit Apply Now

How Does Whole Life Insurance Work?

Whole life insurance in the UAE provides lifetime coverage, ensuring protection up to the age of 99. Upon the insured’s death, their beneficiaries get a guaranteed death benefit, which brings financial security and peace of mind.

Regular premiums fund the policy. A portion is allocated to a savings component called cash value, which grows over time. This accumulated value not only enhances the policy's benefits but also provides additional support if needed.

In addition to financial protection for loved ones, the policy rewards longevity by paying out the sum assured and any accumulated bonuses if you outlive the term. The cash value can also be accessed during your lifetime to support major financial goals, such as purchasing a home or funding your children’s education, making whole life insurance a versatile and reliable option for long-term financial planning.

Cash Value Component: How Does it Work?
Cash value is an in-built component of whole life insurance. It is the partial premium that accumulates during the policy tenure and is separate from the death benefit. The value grows at the rate predetermined as per the policy terms or is based on the investment performance. The cash value can be used for various purposes like borrowing against it or fund withdrawals, whenever required.

Cash Value Component: How Does it Work?

Cash value is an in-built component of whole life insurance. It is the partial premium that accumulates during the policy tenure and is separate from the death benefit. The value grows at the rate predetermined as per the policy terms or is based on the investment performance.

The cash value can be used for various purposes like borrowing against it or fund withdrawals, whenever required.

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Exclusions of Whole Life Insurance Plans in the UAE

Here’s a list of the standard exclusions of whole life plans —

Death in UN-sanctioned war zones
Death due to participation in illegal or criminal activities
Death due to substance abuse

Understanding the Eligibility Criteria for Whole Life Insurance

Here are the plan-by-plan major eligibility criteria for the top whole life insurance policies —

Zurich Futura	MetLife Future Protect	Sukoon Life Protect (Conventional)	Sukoon Family Takaful Protect
Minimum Plan Entry Age — 18 years Maximum Entry Age — 74 years Maximum Maturity Age — 95 years	Minimum Plan Entry Age — 1 month Maximum Plan Entry Age — 65 years Maximum Maturity Age — 95 years	Minimum Plan Entry Age — 18 years Maximum Plan Entry Age — 75 years Maximum Maturity Age — 95 years	Minimum Plan Entry Age — 18 years Maximum Entry Age — 75 years Maximum Maturity Age — 95 years

Factors Affecting Whole Life Insurance Premiums in the UAE

Here are the major factors that impact the premiums of whole life plans in the UAE —

Age and Gender - The cost of whole life insurance increases with age — purchasing a policy earlier in life is more affordable. Gender also plays a key role; women typically pay lower premiums due to their higher life expectancy.
Height and Weight - Being overweight increases the risk of health issues like diabetes and heart disease, leading to higher premiums.
Medical History - Your current health, pre-existing conditions, past surgeries, and family history of serious illnesses influence your premium rates.
Alcohol and Smoking Habits - These habits are linked to serious health problems, significantly increasing premium costs.
Profession - Jobs involving hazardous environments or frequent travel by road, air, or underwater pose higher risks, which translates into higher premiums.
Financial History - A poor financial record, including low income or unpaid debts, can increase your risk level and premiums.
Payout Levels - Policies with decreasing payouts over time may cost less compared to those with fixed, long-term payouts.
Number of Dependents - More dependents require higher coverage to meet their needs, resulting in a higher premium.
Premium Payment Mode - Paying premiums annually or semi-annually can reduce costs compared to monthly payments, which incur higher administrative fees.

Whole Life Insurance Customer Profile

The perk of buying a whole life plan is that it offers longer coverage than traditional term plans. It secures the beneficiary if something happens to the life assured.

Anyone can buy a whole life policy. Let’s take a look at how whole life insurance suits individuals across different categories —

Sole breadwinners who want to secure their family in case of their absence
Individuals in their 40s, who want to create a retirement corpus
Married People/Parents - People who plan to start a family or already have children
People in their 20s can also buy whole life insurance plans as the premium is lower than in later years of life
Individuals in their 50s - People looking forward to creating a financial legacy for their families

Can You Buy Whole Life Insurance for Someone Else? Understanding Insurable Interest
You can buy a whole life policy for people who financially and emotionally impact you. This is known as insurable interest. For instance, a housewife can buy a whole life plan in the UAE in her husband’s name. If something unfortunate happens to him in the policy tenure, his wife and the family will at least remain financially secure. Insurable interest applies to spouses, parents, corporations, legal obligations, dependents, business partners, estate planning, and debtor-creditor relationships.

Can You Buy Whole Life Insurance for Someone Else? Understanding Insurable Interest

You can buy a whole life policy for people who financially and emotionally impact you. This is known as insurable interest. For instance, a housewife can buy a whole life plan in the UAE in her husband’s name. If something unfortunate happens to him in the policy tenure, his wife and the family will at least remain financially secure.

Insurable interest applies to spouses, parents, corporations, legal obligations, dependents, business partners, estate planning, and debtor-creditor relationships.

How to Buy the Best Whole Life Insurance Plans in the UAE?

You can easily buy the best whole life insurance in the UAE on Policybazaar UAE — here’s what you need to do:

On the Policybazaar UAE website, click on the ‘whole life insurance’ tab in the Insurance tab on the menu bar.

Fill in the lead form application on the page — enter personal details such as age, gender, and health details for accurate quotes

This will take you to the quotes page

Here, review multiple whole life plans from the top insurers and compare their features, coverage, and premiums

Evaluate add-ons like critical illness cover, premium flexibility, and cash value benefits

Choose the plan that offers the best value and meets your requirements. Follow the instructions thereon

Glossary

Terms	Definitions
Accelerated Critical Illness	A benefit paid out in lump sum if the life assured gets diagnosed with any of the critical illnesses mentioned in the contract This sum, which reduces the death benefit by the same amount, can be used for any purpose — medical treatments, daily expenses, and so on
Accidental Death Benefit/Accidental Loss of Life	The amount paid by the insurance company on top of the fixed death benefit if the life assured passes away because of an accident This benefit usually requires the policyholder to pay an additional amount to the base premium
Aeroplane Cover	Under this benefit, a lump sum is paid if the insured individual passes in a plane crash
Beneficiary	The person who gets the benefits if something happens to the whole life policy’s life assured
Cash Value	An in-built component of whole life insurance, it is the partial premium that accumulates during the policy tenure and is separate from the death benefit
Critical Illness Benefit	The insured is paid a lump sum amount to handle daily expenses or pay for medical treatments or any other purpose — the condition is that the critical illness should be mentioned in the contract You can purchase the plan as a rider or as a standalone policy
Claim	The process where the nominee requests reimbursement from the insurance company in case of any unfortunate events discussed in the policy contract
Death Due to Natural Causes	Situation when the life assured passes away due to natural reasons including old age, disease, or a medical condition
Exclusions	Terms and conditions that are not covered under a whole life plan If any of these situations occur, the insurance benefit will not be paid
Hospitalisation Benefit	Amount paid by the insurance company to the insured if they are admitted into a hospital for a surgery or to get some treatment
Loss of Life Benefit	A cash payment that the beneficiary gets in case the life assured passes away
Life Cover	The payout to the beneficiary in case the life assured passes away
Life Assured	The person covered against death during the policy tenure The beneficiary in such a situation receives the benefits
Permanent Partial Disability	Refers to the assured cash that the life assured receives in case they become partially disabled because of accident, sickness, or both, depending on the situation
Permanent Total Disability	Assured cash that the life assured receives in case they become completely disabled due to accident, sickness, or both (depending on the case)
Policyholder	This is the individual who purchases a plan — they can be the insured individual or buy it for someone else
Premium	This is a regular amount paid by the policyholder for the plan
Second Medical Opinion	A service that allows the insured to get a second medical opinion from reputed hospitals and specialists worldwide The condition is that life assured must have been diagnosed with a critical condition that requires further advice
Terminal Illness Benefit	Guarantees the life assured that if they are diagnosed with a terminal illness, the basic death cover will be accelerated to provide them and their beneficiary with financial support
Waiver of Premium Due to Disability	As per this benefit, in case of permanent disability, the future premium is waived while the policy remains active

Frequently Asked Questions

Usually, the minimum age to apply for a whole life insurance plan is 18 years.

Some additional benefits offered include critical illness benefits, accidental death benefits, permanent total disability, second medical opinion, and more.

You receive the policy’s cash value after the surrender fee is deducted.

The decision depends on the purpose for which you want to buy the life insurance policy. You can buy term insurance if you want coverage for a limited period at an affordable premium. A whole-life policy is ideal if you want to secure your entire life and build cash value.

Yes, this is an ideal option to create a legacy as the sum assured is huge.