[header] How to use insurance investments for loans [title] Confirm that you have a life insurance policy that carries cash value. [step] Other life insurance is as unsuitable for this as your auto insurance policy. [substeps] Cash value life insurance builds an accessible fund with each premium payment, in a manner not unlike the way your mortgage payments build up equity.
That's your money, but it is tied to the death benefit when the policy pays out. If you take a loan from it, your death benefit will be reduced until you pay the loan back.