Life Insurance – Most popular Insurance in India.
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life insurance is the sole investment option that gives you specific insurance policies customized for every life stages. This policy ensures that the benefits given to the customer meets the needs of the customer at that particular life stage, and hence ensures that the financial goals of that life stage are met.
Life insurance is basically categorized into two classes -
- Temporary life insurance.
- Permanent life insurance.
And the below listed are it’s subclasses-
term insurance, Unit Linked Insurance Plan ( ulip ), Whole life, Endowment Plan, Money Back Policy, Children Plan, pension plan.
Temporary life insurance:-
Temporary life insurance provides insurance coverage for a particular period of time and for specific amount of premium. Generally the premium buys protection in the event of policy holder’s death.
Three things to be considered in temporary insurance -
- Face value
- Premium to be paid
- Coverage length.
Permanent life insurance -
Permanent life insurance is a insurance that can be extended further until or unless the insurer fails to pays the premium due. The insurer cannot withdraw the policy for any reason except fraud in application, by which cancellation is done by Law within a period of time.
The types of permanent life insurance -
- whole life.
- universal life.
- endowment.