HomeInsuranceProtection Against Uncertainties: Role Of Life Insurance In One’s Life
Protection Against Uncertainties: Role Of Life Insurance In One’s Life
June 5, 2021
You’ve probably heard of life insurance. But not everyone has come across this type of insurance. Let’s take a closer look at what it is, how it works and why it is needed.
So, life insurance is a type of insurance that helps to compensate for sudden losses in difficult life situations arising from an illness or an accident.
Life and disability insurance allows you to solve a huge number of socio-economic problems associated with any unforeseen incident.
Having insured his health, the insured, by taking help of insurance service providers in India, can be sure that he will receive a certain amount of money in case of injury or bodily injury, loss of job or disability, transport accidents, or any unforeseen situations.
The object of life and health insurance is usually the property interests of the policyholder. These interests, as a rule, relate to the harm to the health of the policyholder or his death in the event of illness or accident.
WHY DO YOU NEED LIFE INSURANCE?
Each person makes plans for the future, sets goals and achieves them. Many things in our life require certain financial costs. Money is needed in everyday life – for groceries, large purchases – it improves the quality of life, protects us and our children.
And even if you are not involved in extreme sports or do not work in hazardous industries, having insured your life, you can save up for planned large expenses, such as a mortgage, buying a car, or provide an increase in your pension.
Life insurance services becomes a guarantee that in a difficult life situation the family will not be left without material support.
There are 4 types of life insurance: temporary, life, risk and endowment insurance.
Temporary insurance. It is concluded for a certain period of time. The insured event is the death of the insured person for any reason. Bonuses are paid periodically.
Life insurance. Lasts throughout the life of the insured person, is indefinite. Life insurance provides financial support to the family of the insured person, helping to avoid high tax rates and augment existing assets in the event of death.
The bonuses are one-off or paid periodically. It is used as one of the methods of inheritance transfer or as a method of material support for relatives after the death of the insured person.
Risk insurance. This type of insurance is similar to life insurance, in case of an insured event, a certain cash payment is paid with the help of protective life insurance customer service.
Risk insurance protects the insured person from various kinds of risks: in the event of disability (disability of a certain group), diagnosis of a serious illness, hospitalization, surgery, injury.
This type of insurance helps to get a one-time amount of money. As a rule, the amount of premiums ranges from 2 to 5% of the insured amount, but may vary depending on the gender, state of health, age of the insured person.Endowment insurance. This is a type of ins