Life insurance is less desirable because the impression is identical with the protection of death that can not be enjoyed by the insured itself. Though true is not the case. Life insurance provides financial guarantees when a person is too old or suffers a disability or dies so cannot provide for his family. That’s why the websites like Best-lifeinsurance.com.au can be very reliable for those who seek for a great and reliable insurance service.
Insurance company itself finally develops this life insurance product into 4 types so it is more acceptable to prospective customers according to their needs as follows:
1. Life Insurance Futures- Most Affordable Between Other Life Insurance Types
This type of life insurance provides protection to policyholders within a certain time according to agreements such as 5, 10, 20 years. Beyond that protection, the period will expire. Suitable for those who want maximum protection with the limited budget and within the desired time range. The insurance premium is the cheapest compared to others, but the risk if there is no claim then the total premiums already paid will be forfeited.
Characteristics of Term Life Insurance
If there is a risk, such as an accident or death during the term of the contract, the insurer will provide a financial guarantee of a certain amount in accordance with the provisions of the policy to the heirs.
If the insured is not at risk until the expiry of the contract period then the insured will lose the money that has been paid to the insurance company. It’s just that customers do not have to feel regret it, he should be grateful to be given health until the contract is completed. So the principle is more in the direction to be on guard if there is a risk that can not be borne alone.
Advantages and Disadvantages of Term Life Insurance
The cost of this insurance premium is lower than other types of life insurance. The sum assured earned is quite large, even reaching millions of dollars, and will only be given by the insurance company if the insured cannot support the family because of health problems or died during the contract is still active.
2. Whole Life Insurance
Life Insurance Life or Whole Life Insurance is intended for customers who want to get lifelong protection. Actually more precisely for the protection period until the age of 99 or 100 years in accordance with the provisions of the policy.
Characteristics of Life Insurance for Life
Whole life insurance can provide the cash value of the policy that has been paid within a certain period, according to the agreement in the policy.
Pre-paid premiums can be used to pay premiums in subsequent months if customers experience financial constraints.
Insurance premiums will not be forfeited if there is no claim and can be taken entirely if the contract period ends as agreed in the policy.
Premiums paid relatively high
This type of insurance is suitable for customers who want to get a lifetime protection but still get the benefits of cash so it could be alternative saving, although the value is not large.
3. Endowment Insurance
This type of life insurance offers 2 benefits, namely as term and savings insurance. This product incorporates term life insurance and savings that can be withdrawn at any time before the contract expires, in accordance with the agreement.
Characteristics of Dwiguna Life Insurance
Dual life insurance product has many variations.
Usually packaged as child education insurance, pension insurance, and so forth.
Many choices of contract period with nominal agreement of disbursement of savings and nominal value of sum assured
This type of insurance has 2 benefits, namely the benefits of life and the benefits of death. This means that the sum insured will be provided if the customer dies or is still alive but the policy contract is over.
Suitable for savings as well as life protection
The premium cost is relatively high because of the more flexible return of insurance money and the benefits of savings that you can use for immediate needs.
4. Life Insurance Unit Link-Insurance Plus Investment
This type of insurance is the most recent product of an insurance company that combines insurance and investment that is the answer to the needs of customers who are interested in investing and want to keep getting life and health protection.