Life Insurance
Life Insurance explained:
- Protection policies, which are designed to provide a lump sum payment, in the event of specified event.
- Investment policies aim to facilitate the growth of capital by regular or single premiums.
Term Insurance
Level Premium Term
Permanent Life Insurance
Whole Life Coverage
Whole life insurance provides lifetime death benefit coverage for a level premium.
Universal Life Coverage
This new policycombines permanent insurance coverage with greater flexibility in premium payments, along with the potential for greater growth of cash values.
Limited Pay
Another type of permanent insurance is limited paylife insurance, where premiums are paid over a specified period, commonly 10 or 20years, after which no additional premiums are due.
Endowments
Endowments mature and are paid out after a predetermined period (e.g. 20 years) or at a specific age (e.g. 75 years old), whether the insured is alive or has already passed away.
Accidental Death
Accidental death insurance is a limited life insurance that is designed to cover the insured only if they should they die as the result of an accident. This type of policy can also supplement standard life insurance as a rider. If a rider is purchased, the policy generally pays double the face amount if the insured dies from an accident.