Which of the following distinguishes whole life insurance from term-to-100 insurance?

Question: Which of the following distinguishes whole life insurance from term-to-100 insurance?

Answer options:

• Whole life provides coverage for life, while T-100 does not.
• Whole life premiums are flexible, while T-100 premiums are fixed. ✅ Whole life policies are guaranteed to develop a cash surrender value.
• T-100 policies can be converted to other types of insurance.

Correct answer: Whole life policies are guaranteed to develop a cash surrender value.

Explanation: While both provide lifetime coverage with level premiums, a key distinction is that whole life insurance is designed to build a guaranteed cash surrender value, whereas a Term-to-100 policy typically does not.