What is an insurance plan that offers both protection and savings called?

A plan that provides both protection and savings is known as a permanent plan. This type of insurance not only offers a death benefit but also includes a cash value component that accumulates over time. The cash value grows at a certain interest rate, and policyholders can borrow against it or withdraw funds if needed, providing a savings element alongside the insurance coverage.

Permanent plans are designed for long-term financial security, which distinguishes them from temporary plans, which only provide coverage for a specific period and do not build cash value. By combining these two functions—insurance coverage and savings—the permanent plan serves policyholders who are looking for both life insurance protection and a means to accumulate savings over time.