This type of life insurance You should Know
This time we will specifically discuss about life insurance. Do you already know what is life insurance? Life insurance is a contractual agreement between you as a policyholder or insured with an insurance company as an insurer where the insurance company will pay the nominal amounts of money in case of risk of death against a party to the holder of the insurance policy. You as the insured is obliged to pay a certain amount of premium to be beneficial to provide replacement upon Your risk of death. In other words, life insurance is a type of insurance that aims to take away those against unexpected financial losses, which are caused due to the insured dies.
Life insurance can be purchased for the benefit of ourselves and on behalf of the insured only or purchased for the benefit of a third person. For example, a husband can buy life insurance with the wife as the insured, or parents can also buy life insurance with his son as the insured. There are several types of insurance, but before discussing about different types of life insurance is, it's good you know in advance some of the reasons that make life insurance is so important to you.
1. As a protection against loss of Income for the family
No one knows what will happen tomorrow, including you. To anticipate likely affected Your family and leave you nafkahi for good, You need to buy a life insurance policy so that your family can get the sum assured for life after You leave.
2. As protection risk died of diseases the main causes of Death
Based on a survey conducted the World Health Organization (WHO) in 2002, the 10 leading causes of death in Indonesia are coronary artery disease, tuberculosis, blood vessel disorders, respiratory ailments, diseases of the newborn, lung disease, traffic accidents, diabetes, hypertension, and diarrhea. These diseases are quite common, so it's important for you to have the protection of the risk of catching the disease-the disease and died.
3. One way of saving or Retirement Preparation
Save money on life insurance is the best alternative for your long term needs because of the nature of a regular premium payment, obliged, and not easily taken at any time.
There are several types of life insurance products that surely each has different benefits. Types of life insurance aims to serve a variety of needs, abilities, and purchasing power. Please note what are the different types of life insurance:
1. Life insurance Futures Exchange (Term Life Insurance)
Futures or term life insurance life insurance these functions to give protection to the insured within a certain period only. Life insurance is usually offered contracts for 5, 10, or 20 years, with a fixed premium and countless cheap.
Is recommended that you choose this kind of life insurance if you give priority to the future of your family especially children education. Suitable for those who have a need for a huge insurance costs but have limited financial ability.
If you choose this, some life insurance benefits are:
You as a policyholder get freedom in determining the magnitude of the premium in accordance with your abilities.
Sum assured that you can get as the policyholder could reach billions of dollars. That is, if the insured dies during the contract is still active, then the family of the insured will get a sizable sum assured.
Meanwhile, the lack of this type of insurance are:
The insured may lose money on premiums paid or premium charred so the contract is complete when not experiencing health problems or died until the contract is completed.
2. Whole life insurance (Whole Life Insurance)
Lifetime kind of life insurance or whole life insurance provides protection for a lifetime, even though insurance companies typically limit the benefits of the protection to just 100 years.
Life insurance is recommended for those who have no dependents and wanting more benefits than just compensation for the death, or you are interested in the idea of long-term savings. So, if you want the protection of inhabitants at a time savings for emergency needs such as paying hospital bills, you can consider to buy this type of life insurance policy.
The advantage of this type of insurance are:
Policyholders it is possible to get the cash value of the premiums already paid.
When you as the insured could not pay the premium installments periodically, you can use the cash value of the premiums already paid to pay the premiums.
Insurance premiums you have paid will not be forfeited if no claim.
When the contract ends, the sum assured will be paid at all.
Meanwhile the drawback is:
Greater than the premiums of life insurance premiums in futures, even can reach more than two times. The reason of the high premium it is because life expectancy of society Indonesia only 65 years for men and 71 years for women, so the possibility of insurance claims before the protection ended higher.
The cash value of the total premium paid is not too large because the flowers for this insurance is usually only by 4% per year, and this figure has not cut taxes.
3. Life insurance Dwiguna (Endowment Insurance)
Types of dwiguna life insurance or endowment insurance in accordance with his name is insurance that has two benefits, namely life insurance as a forward at the same time savings. This means that you as a policyholder can get the cash value of insurance premiums that you have paid in the form of sum assured if the insured dies within a certain period in accordance with the policy of the insurance policy in question and also be able to draw an insurance policy in a certain time before his contract ends.
This type of insurance is recommended for those who want to ensure the availability of more funds for the education of children, want to have funds for unexpected needs in the future, and want to have a retirement fund.
The advantage of this type of insurance are: Choosing Car Insurance
As already described above, you can claim this life insurance policy before the contract expires, for example to fund your child's education. But withdrawals can only be made once in a period of several years in accordance with the agreements that have been made.
If for example you as the insured is still alive when the time period expires, you will get the entire sum assured.
Meanwhile the drawback is:
Because this type of life insurance has two benefits, like combining the benefits of futures with life insurance whole life insurance, so the premiums is large enough, it could reach millions of dollars per month.
4. Life Insurance Unit Links
Life insurance types of link units combine the benefits of insurance with investment, and most often offered by an insurance agent. If you are interested in investing but didn't understand about investing