Whole life insurance provides lifetime death benefit coverage for a level premium in most cases. The death benefit can also be increased through the use of policy dividends, though these dividends cannot be guaranteed and may be higher or lower than historical rates over time. According to internal documents from some life insurance companies, like Massachusetts Mutual, the internal rate of return and dividend payment realized by the policyholder is often a function of when the policyholder buys the policy and how long that policy remains in force. The payment for this type of insurance is slightly higher than the Term Insurance as it would be covering the rest of a person's existence. Payment would also be done as long as a person is alive and the premium for month stays the same throughout.The first is the actual coverage of the policy while the other acts as a investment which earns interest over the years.
If you have further query please contact Canada Insurance Plan.