What distinguishes whole life insurance from universal life insurance?

Whole life insurance is characterized by its guaranteed death benefits, which provide a fixed payout to beneficiaries upon the policyholder's death, regardless of when that occurs, as long as premiums are paid. This guaranteed aspect gives policyholders a sense of security, knowing that their loved ones will receive a specified amount regardless of the timing.

In contrast, universal life insurance also provides a death benefit, but its structure allows for more flexibility in premium payments and the death benefit amount. With universal life, policyholders can adjust their premiums and even the death benefit, depending on their financial situation at any given time. This flexibility does not apply to whole life policies, which have predetermined premium structures.

The other options presented highlight features of universal life insurance rather than the defining characteristics of whole life insurance. Therefore, the guaranteed death benefit is what truly sets whole life insurance apart, making this the correct answer.