Which statement best describes a whole life policy?

A whole life policy is designed to provide coverage for the lifetime of the insured, which is why it requires premium payments for life. The policy is structured to endow at age 100, meaning that if the insured reaches that age, the face value of the policy is paid out to the policyholder. This characteristic allows policyholders to have a reliable, lifelong coverage option along with a savings component that accumulates cash value over time.

The other options describe payment structures or endowment ages that do not align with the characteristics of whole life policies. Whole life insurance is typically known for its lifelong coverage and predictable premium payments, contrasting with limited pay options or single premium policies described in the other choices.