Participating (par) Life Insurance

Participating, or par, life insurance is a type of life insurance that offers both guaranteed and non-guaranteed returns. Policyholders may receive bonuses based on the performance of the insurer's participating fund, which depends on investment returns, claims experience, and operating costs. These bonuses are announced yearly and increase the policy's cash value.

This type of life insurance gives fixed benefits and may also add bonuses when the insurer's participating fund performs well.