Can I withdraw cash value from my permanent life insurance policy?

Key details about permanent life insurance

Withdrawals up to your total premiums paid are typically not taxed, but amounts beyond that (representing growth) may be taxable as income; policy loans are generally not taxed as long as the policy stays in force, but unpaid loans reduce your death benefit. Different tax rules can apply if the policy lapses with a loan outstanding or is a modified endowment contract (MEC), so check with a tax professional before taking money out.

Because withdrawals and loans can affect your death benefit and the policy's long-term performance, it's a good idea to review the specific tradeoffs with your insurer or an agent before accessing cash value.