101 Life Insurance

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All types of life insurance policies fall into one of four groups described below, the type used depends on the type of risk you want to protect and the resources you have available.

Warranty Period

Cash lump sum paid on death

Straight-term quality assurance is still a very economical way to provide financial protection for your family or business. A lump sum is normally granted when a claim is made, paid into the Summer of the contractor.

To avoid complications with delays in the process of succession or inheritance tax, a trust is appropriate can be used so that the payment made directly to beneficiaries.

It 'also possible the terms must cover the inflation indexed, so that the level of cover remains the same in real time. There is nothing in savings, do not buy the plans of the surrender value. If you want to include this option, you can opt for convertible> Period of quality assurance.

Family income benefit

A regular income paid after death during the term of the plan

This type of plan provides a regular income, the policy will be paid on death of life insurance that during the period. With each passing month, the liability, the insurer assumes or a fixed sum. In this way costs a minimum and is often the least expensivePlan available.

The benefits can be written in trust, to avoid delays and possible legal
Subject to inheritance tax.

Mortgage protection.

This type of planning is a long-term policy that covers the declining balance of a repayment mortgage. In this way the costs are minimized, but make sure that the interest rate high enough figure for any increase in the loan.

total life coverage

Provides coverage for the rest ofYour life

The main disadvantage of term coverage is that the end of term coverage and listen to any new policy has a time to be determined according to age and health of contractor a. If a whole life policy is made, a life insurance policy guaranteed insurability for the rest of you, regardless of any change in their health.

This means that the premium quality which are likely to be higher than termCover but the plan has more flexibility. So it depends on your personal situation that the plan is probably best suited to your needs.

Illness Cover

Cash lump sum for those who die or suffer a critical illness

In recent years, the need is protection for those who survive serious illness or accident, become much clearer. It 'been described as "life coverage for the living.

Most plans provide the common conditions asHeart attack, stroke, and most forms of cancer, but there is more variation in rare conditions. In addition to certain diseases, it is common to cover permanent disability. If you are permanently disabled and unable to return to work are paid from the plan. However, there are marked differences in the definition of "return to work. Some plans only would be for you if you were completely unable to work. A. Have a particular profession Clause so that if you do not return to normalProfession, a question could be stated. This is a very important fact to keep in mind when selecting your insurer.

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