Which of the following best describes a key benefit of whole life insurance?

The key benefit of whole life insurance is its guaranteed death benefit and cash value accumulation. Whole life insurance is designed to provide lifelong coverage, unlike term insurance, which offers protection for a specified period. The guaranteed death benefit ensures that the policyholder's beneficiaries will receive a payout upon death, providing financial security that can assist with expenses such as funeral costs or outstanding debts.

Additionally, whole life policies accumulate a cash value over time, which the policyholder can borrow against or withdraw from while still keeping the death benefit intact. This cash value feature provides a savings component that can be an important financial resource, making whole life insurance not just a protective measure but also a potential financial asset.

In contrast, lower premiums are typically associated with term insurance as it provides coverage for a limited time without a cash value component. The assertion that whole life insurance is only available with additional riders is misleading, as whole life policies can exist independently without the need for riders, which are optional enhancements. Lastly, while medical underwriting is a part of any life insurance application process, whole life policies do not necessarily require less underwriting than term policies, which often also require similar evaluations depending on the insurer.