Life Insurance: A Buying Guide
Life insurance or rather life assurance is a legal policy or a legal contract that is normally between the insured and the insurance policy holder that is in most cases the insurance company for example the Jubilee insurance. The contract states that the insurer regularly promises to pay the designated beneficiary a sum of or an amount of money in exchange to the premium should death be the case that has befallen the insured. Who is in most cases is the policy holder. On the basis of the contract and its terms and conditions other un anticipated conditions such as the terminal illness and or other critical illness may facilitate the payment of the insured party. The insured or the policy holder typically, generally pay premium either once as lump sum or on a regular basis. Customarily other expenses for instance the funeral expense can also be included in the doles.
The life insurance or life assurance policy is habitually a legal contract, the terms of the contract will always determine or dictate the events of the insured party. For the purposes of trying to limit the liability of the insured or the policy holder there are always a number of specified exemptions or rather specified exclusions that are often into the contract to help categorically prevent the insured from being extra liable. This exclusion has always been of great help to the insurers since they frequently makes sure that the insured is behaving according to their agreement with the policy holder, they may include the civil commotion, claims relating to suicide, claims relating to war, claims relating to riots and claims that are relating to fraud. Life assurance can be categorized into two broad classification. Firstly we have the investments policies; the main aim of these policies is to trigger the growth of capital by single or regular premium, the examples may include the whole life, the universal life and the variable life policies.
Secondly we have the protection policy, this policy is often designed to provide benefits, thy are typically lump sum payments in the event of occurrence. The life insurance policy is often based on various number of considerations which may include. One of the important elements in determining the policy you choose is your age. Younger people often has a pool of choices to select from since most of the insurance companies are have age limits.
Theoretically females are perceived to live seven years longer than the male, therefore this translates to a less expensive policy for the females. Healthy individuals are subjected to cheaper premiums than those who are not healthy.
Another factor is the duration of need of the policy.