Who receives the endowment value of a whole life policy?

In the context of a whole life policy, the endowment value refers to the amount that is payable to the policyowner when the policy matures, which typically occurs when the insured reaches a certain age, often 100 years. At that point, the policy has accrued enough cash value, and the policyowner receives that accumulated amount.

This concept is tied to the principle that a whole life policy not only provides a death benefit but also builds cash value over time. The policyowner is the one who holds the contract, pays the premiums, and, upon maturity, is entitled to the endowment value, which can be seen as a combination of the savings element of the policy alongside the insurance component.

Beneficiaries, on the other hand, receive the death benefit but are not involved with the endowment value that is realized while the insured is still alive. The insurer is responsible for paying out benefits but does not receive any endowment value—the policy's structure is designed to benefit either the policyowner or the beneficiaries, depending on the circumstances.