Which policy's accumulation value increases according to market rates?

Whole life insurance provides guaranteed cash value growth at a fixed interest rate set by the insurer. While it offers stable and predictable growth, it does not adjust according to market rates. The accumulation value remains constant, allowing for the preservation of value but lacking the potential for increases tied to market fluctuations.

Term life insurance is purely a death benefit policy with no cash value component. It does not accumulate any value over time, as it is designed to provide coverage for a specific period. Therefore, it cannot be influenced by market rates, making it inapplicable to this question regarding accumulation value.

Graded premium whole life policies feature lower initial premiums that gradually increase over time, but like whole life policies, they provide a guaranteed cash value growth at a fixed interest rate. They do not offer accumulation values that change in response to market conditions, limiting their growth potential compared to indexed options.