In a whole life policy, what happens when the policyholder reaches the age of 100?

In a whole life policy, when the policyholder reaches the age of 100, the policy matures, and the death benefit is paid out. This is a unique feature of whole life policies, which are designed to provide coverage for the entire lifetime of the insured, and they accumulate cash value over time. Upon reaching the maturity age, the insurance company is obligated to pay the full death benefit amount to the policyholder or beneficiary, effectively concluding the contract.

This maturity provision serves as a guarantee that, regardless of when the insured passes away, the policy will ultimately pay out, promoting peace of mind for the policyholder. The cash value accumulated may also be made available before maturity, but the key point at age 100 is that the full death benefit is payable, which marks the end of the contract's duration as intended when the policy was issued.