|
|
|
Getting Started
-Life Insurance Policy-Life Insurance Benefits -Best Insurance Policy -Life Insurance Companies -Life Insurance Quotes Life Insurance Types
-Types of Insurance-Term Life Insurance -Supplemental Life Insurance -Cash Value Insurance -Endowment Insurance -Family Life Insurance -Whole Life Insurance -Group Term Life Insurance -Variable Universal Life Insurance -Premium Life Insurance -Joint Life Insurance -Accidental Death Insurance -Viatical Life Settlement Insurance Tips
-Low Cost Insurance-Insurance Tax Benefits -Insurance Buying Tips -Top Insurance Companies Useful Articles
-Universal Life Insurance-Life Insurance Coverage -Term & Whole life insurance -Life Insurance Leads -Life Insurance Settlement Recommended Sites
-
Consolidation loansFree Newsletter
Stay updated, sign up for our free newsletter to receive useful tips Full NameEmail Id 
|
What are the kinds in life insurance policy?There are two major types of insurance policies term and permanent life insurance policies.These types underlie some more types that make the policies a clutter .It is advised to take a brief look at each policy before taking up it .This article provides a gist of each kind.read on.The article covers
Term Life InsuranceTerm Life Insurance is a type of insurance policy whereby the insured pays a fixed sum for a period of time. This sum remains constant. The premium charged is very nominal. The Policy holders normally survive even after its expiry unless they are affected by fatal disease or injured in an accident. This policy does not cost much. Once the policy expires the insured is also at liberty to renew the same but he will have to pay the revised rates of premium. Such a change could sometimes be too high. This is one of the drawbacks of this policy. But for this factor, it is economical and highly recommended for the salaried youth and middle men. Whole term insurance policy is another classification in term life insurance. In a whole term insurance the insured pays the fixed amount throughout his life.The different categories of term life insurance policy are as follows: Group Term Life InsuranceThis type of insurance is taken by the employer for his employees. The employer either pays the premiums from his kitty or by deducting the appropriate amount from the salary of individual employees. This policy provides lot of benefits but it cannot be relied solely to meet your insurance needs. This type of insurance is gaining significance in the developing countries.Level term Life InsuranceThis type of insurance requires you to select a particular period and pay premiums for the selected period. The policy automatically matures on the attainment of the selected period. Once you select the term say 5 10 or 15 years you cannot revoke it. This type of insurance is ideal for those people who are not able to make long term financial plans.Permanent insurancePermanent Life Insurance is an expensive Policy. This Policy cannot be stopped on any occasion as long as the premiums are paid regularly and you don't want to end the policy. In a permanent Life Insurance policy you pay premiums for an indefinite period irrespective of the fact they exceed the amount to be distributed to your dependents in case of death.Such surplus will be deposited by the company in a separate account. They will yield higher returns if the company performs well. A share of the profits is periodically dispatched to you. You have the option of raising loans out of those funds or accumulate them back in the account. In case you decide to end the policy you will paid back with the surrender value .If the insurer decides to retain the profits made from your investment with him then you are not required to pay income tax for that amount. There is a possibility like, when you withdraw certain amount of money within the given limit you need not pay income tax for that amount. But when you deposit money in the bank you have to pay income tax irrespective of the fact you utilize it or not. If the insurer decides to retain the profits made from your investment with him then you are not required to pay income tax for that amount. There is a possibility like, when you withdraw certain amount of money within the given limit you need not pay income tax for that amount. But when you deposit money in the bank you have to pay income tax irrespective of the fact you utilize it or not. It is however advised not to choose permanent insurance if your motive is solely investments and tax exemptions. In that case it is advised to invest in some form of cheap investments and make use of other financial instruments for saving tax because the basic objective of insurance is neither investment nor tax exemption. Continue to : Types of Permanent Life Insurance Related ArticlesIs term life insurance policy your pick of the bunch?Can I supplement my life insurance policy? Is availing credits possible in life insurance policy? Am I endowed with monetary benefits during my lifetime? Does a group life insurance policy your choice? Can I expect return on investment beyond protection? Group Term Life Insurance - Do the Conditions Satisfy You? Variable Universal Life Insurance - Flexibility at its Best? Has Return of Premium Life Insurance (ROP) Come to Stay? Joint Life Insurance - No Extra Benefits for You Here Act Smart! Get AD&D Insurance Policy! Is the seller of life settlement sure to die? Viatical Settlements
|
|
Home |  |  |  | Privacy Policy | Disclaimer | Copyrights | Contact Us |
