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Variable life insurance is essentially a form of what type of insurance?

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Final answer:

Variable life insurance is a type of cash-value (whole) life insurance with a death benefit and an investment component.

Step-by-step explanation:

Variable life insurance is essentially a form of cash-value (whole) life insurance. This type of policy includes both a death benefit and a cash value component, which acts like a savings account. Policyholders can use the accumulated cash value during their lifetime, for instance as a loan from the insurance company, which must be paid back with interest. Unlike term life insurance, which only provides a death benefit, variable life insurance offers the dual benefit of a death benefit and potential cash value growth, linked to the performance of an investment portfolio.

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