Which of the following statements is true regarding cash value in Whole Life insurance?

In Whole Life insurance, cash value is a significant component that differentiates it from term insurance. The cash value of a Whole Life policy accumulates on a guaranteed basis over time, with growth typically occurring at a fixed interest rate set by the insurer. This means that policyholders can rely on a certain amount of cash value at specific points in the future.

One of the key benefits of this cash value is that it is indeed accessible to the policyholder during the policy term. Policyholders can borrow against the cash value as a loan, using the cash value as collateral, providing them with liquidity without having to surrender the policy or jeopardize their life insurance coverage. Additionally, if the loan is not repaid, any unpaid amount may be deducted from the death benefit upon the policyholder's passing.

Overall, statement C accurately reflects the foundational features of cash value in Whole Life insurance—it is guaranteed and accessible for borrowing, making it a valuable aspect for policyholders looking for both savings and insurance protection.