Introduction
Life in insurance information is the information that explains all about life insurance. Life insurance is the cover provided by insurance companies that provide income to the policy holder’s dependencies after he has passed away. It is an arrangement where you pay premiums to a life insurance company and in return the company undertakes to provide financial assistant to your dependencies after you have passed away. There are various types of life insurance products that are categorized into term life and permanent life policies.
History
Life insurance products are provided to cater for the financial woes of the beneficiaries after the breadwinner or head of the family passes away. Life insurance companies are constantly tailor-making these products in order to meet specific individual needs. In fact, life products are now taken by individuals as a way of investing such as the life endowment policy.
Features
Life in insurance information includes the different types of life products that are offered to individuals which are term life and permanent life. Term life provides cover to the insured’s beneficiaries if he passes away during the term of the policy. This type of product has a defined period of cover and the premiums are fixed. Once the policy expires, cover ceases to exist and no premium will be refunded but you can renew the policy for another period of time. On the other hand permanent life policies are further divided into life endowment, whole life cover, limited pay, variable life insurance and universal life insurance. Life endowment policy has a defined period of cover where the policy expiry but you will have the option to renew it. If the policy matures, you will receive your lump sum payment plus accumulated interest. This policy take into consideration the maturity date, thus if you are still alive when the policy matures, you can get beck your invested money. Whole life policy does not have an expiry date and it run throughout your life. The money is paid to your beneficiaries after you die and technically, premiums are paid throughout your life. It is important to note that life insurance companies pay a lump sum amount of money to your beneficiaries after your death. The scope of cover has been further extended to cover even when you are critically ill.
Life in insurance information also, involves how to take a life insurance company as well as the process of claiming from your policy. The application process is simple and the main information required by life insurance companies include your personal details, details of the beneficiaries as well as your source of income such as contact of employment. Medical history is not a pre-requisite requirement. Also, the process and the requirements of claiming the money from your policy are simple. Life insurance companies only require the identity of your beneficiaries and your death certificate or medical report in case of critical illness.
Tips and comments
Life insurance policy is recommended as a way of guaranteeing your dependencies a decent life after your death as well as a form of investment. If you are a breadwinner, life insurance is ideal for you.
