Which type of life insurance policy is generally associated with an investment component?

Whole life insurance is characterized by having both a death benefit and a cash value component that acts as an investment. This means that a portion of the premiums paid goes towards building cash value, which can grow over time at a guaranteed interest rate. Policyholders can borrow against this cash value or withdraw it, making whole life insurance not only a means of providing financial security upon death but also a way to accumulate savings.

In contrast, term life insurance provides coverage for a specific period and does not include any investment component or cash value. It is designed purely for life coverage without the added financial features. Group life insurance is typically provided by an employer and also lacks an investment component, focusing primarily on providing affordable life coverage to employees collectively. Accidental death and dismemberment insurance provides benefits in case of specific accidental injuries or death, without any investment aspect tied to it. Therefore, the investment element uniquely identifies whole life insurance among the options provided.