Types of Life Insurance Policies – An Overview

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<h1>Types of Life Insurance Policies – An Overview</h1><strong> Author: <a href='http://www.articleseen.com/profile_dialabank.aspx'>dialabank</a></strong><br /><p>There are some basic types of life insurance policies. Regardless of, whatever the schemes, plans and policies or the life insurance shall be the basic aim is to provide financial aid even after you are not present to earn and hold over expenses of your family. Some life insurance policies are not easy to understand, the concept is rather difficult and confusing and that’s the reason people develop a mindset that life insurance policy is not easy. But here we will let you know how beneficial and important a life insurance policy can be for any one of us. Term Life Insurance Whole Life Insurance Endowment Life Insurance Variable Life Insurance Variable Universal Life Insurance Universal Life Insurance So we will now know in brief about these types of life insurance policy. Term Life Insurance Policy is nothing but a plan which gives you a death protection for one or more than 1 year. Different companies have different things to add up in such policy plans. Many of them provide a term of such policies with 30 years. Term insurance premiums remain equal during the life of the insurance holder. Term life insurance policies don’t give cash value. Death benefits will be given to the dependants of the insurance holder after death of the insurance holder. There are certain terms and conditions explained and stated to the insurance holder before signing the final policy. Some life insurance policies can be renewed for more than one time and with the renewal the premiums will be updated accordingly. All you need to do is check out with the old age and the tenure such policies should be continued. Also you can be given a chance to convert your policy into different other policy like the endowment policy. If you are not acing good health you can convert this policy into an endowment policy for the tenure that you have applied for. The procedures have to be well followed and better understood. Endowment life insurance policy An endowment insurance policy is something where an amount is paid to you at a certain age. If you die before that specific date, the complete death benefits will be given to your dependant. In endowment life insurance policy, the premiums would be higher than the general life insurance policy. So if you wish to buy such policy, you can go in for it comparing the pros and cons online. Whole life insurance policy Whole life insurance policy gives you death protection. It may also be known as the ordinary or general life insurance policy. You need to pay premiums as long as you are alive and after your death the accumulated amount with interest is given to your beneficiary. The premium figure would be higher than the other policies. The period for such insurance shall be 10 to 60 years. Variable Life Insurance Variable life insurance gives permanent security to you and death benefits to your family after you. It depends upon the investment part of the policy how the benefits come up. Here there is a minimum cash assurance after the death of the insurance holder. There are security contract signed by the insurance holder. Universal Life Insurance Universal Life insurance is a dissimilarity of Whole Life. The insurance component of the policy is disconnected from the savings part of the policy. The investment segment is devoted in relationships and mortgages; the asset portion of Universal Life is endowed in money promote funds. Variable-Universal Life Variable universal life insurance shells out your receiver a death benefit. The quantity of the advantage is charged on the achievement of your investments. With the fail of your investment the amount gets lowered.</p><strong>About the Author:</strong><br />Gaurav Khurana is an expert on <a rel="nofollow" href="http://www.dialabank.com/life-insurance.cfm" title="Life Insurance">Life Insurance</a>. He is the Founder Director of DIALABANK.COM (Call 60011600) and Ex National Sales Head – ING Investment Mgt India and Vice President Citibank N.A <p> Article Source: <a href='http://www.articleseen.com/Article_Types-of-Life-Insurance-Policies-–-An-Overview_136579.aspx'> http://www.articleseen.com/Article_Types of Life Insurance Policies – An Overview_136579.aspx</a></p>

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