Life insurance is an insurance policy that pays a sum of money after a set period or on the death.
Life insurance falls into two categories:
- Permanent or whole insurance
- Term life insurance
What is term life insurance?
Term life insurance gives coverage over a specified period of time. Term insurance only pays death benefits to the beneficiaries in case if the insurance holder dies during the specified term.
How does term life insurance work?
In term life insurance policy, one has to pay monthly premises to the company for the specified time/term. The total amount is paid to the beneficiaries in case the holder dies during the policy’s term.
Key points for term life insurance:
- The predetermined insurance amount is fixed depending upon the policy holder’s occupation, age, gender, and lifestyle.
- Pay your term premises on a regular basis to yield eventual insurance returns.
- Life insurance schemes are provided on the basis of medical examination and health checkups to ensure that one is completely truthful.
Advantages of term life insurance:
Inexpensive: Term life insurance is cheaper because the coverage is provided only for a specific time limit. It is considered the most economical insurance available in the sector.
Flexible time period: One can choose to get insured for a certain time. It is a perfect solution if one needs short-term health insurance.
Protection: Term life policy is the easiest way to protect your family. The benefitters of life insurance policy involve spouse and children’s.
Check out the link right here to know more about term life insurance in detail.
The term life insurance investment scheme is beneficial for the entire family as it helps your loved ones in hard times even when you’re not there for them.
Hope you find this article informative.