A dividend is a benefit paid to a client who has a participating whole life policy.  The amount of the dividend is based on the profitability of the company. There are several dividend options a client can choose.  Dividends can be used to increase the death benefit, increase the cash value, or even reduce premiums.  We can proudly say that we have paid a dividend every year since the company’s inception.  Not all whole life policies pay dividends and dividends are not guaranteed.