This article is aimed to provide help on life insurance in general. After reading this you should have a good understanding of which life insurance product would best suit your circumstances. However it is recommended you seek independent advice to ensure your insurance product does as you intend it to.

What is Life Insurance

Life cover is an insurance product which provides a cash sum if the life assured were to suffer loss of life. The insurance can be taken on a single life assured or joint life assured basis. The policy owner must pay regular premiums to the insurer. Unlike home or car insurance the policy owner is not taking out cover to protect a known valuable of tangible value. Rather the policy owner is protecting the family,Guest Posting mortgage or dependents from the consequences of the life assured suffering death. There are many variations of life insurance/life assurance, each having an alternative purposes for use.

Level term insurance
Reducing term insurance
Whole of life
Term insurance

A type of life insurance were the policy owner receives cover from the insurance provider on the life assured for a specified number of years. The minimum term is usually 5 years, the policy owner can choose a term to suit his/her requirements but typically 10, 15, 20, 25 and 30 year terms are chosen.
Level term insurance

Level term insurance is taken out for a fixed amount of cover say £100,000. This amount remains constant at £100,000 throughout the term of the policy. Therefore if the life assured were to suffer loss of life the payout would be the full amount of £100,000.
Reducing term insurance

Reducing term insurance is taken out with an initial amount of cover say £200,000. The cover amount reduces to £0 over the full term of the policy. This type of cover is an ideal protection for a capital and interest repayment mortgage. If the life assured were to suffer loss of life at some point within the term of his/her mortgage and life insurance term the payout would be enough to clear the balance of the remaining mortgage. Therefore removing this debt for the remaining family.
Whole of life

Unlike term insurance this type of life insurance is not restricted to a period of time for the sum assured to suffer loss of life. This insurance is guaranteed (subject to a valid claim) to payout on death of the life assured, the policy owner must continue to pay monthly premiums, therefore the longer the life assured lives the more premiums are paid. However if the life assured were to die after the first 2 years of starting the policy then the insurer will payout the claim. This type of insurance is ideally used to cover funeral arrangements, or to cover an inheritance tax liability.
Additional features

There are a number of additional features offered by 美国留学生保险 life insurance companies in connection with a life insurance policy some of these are listed below: –

Terminal illness cover
Critical illness cover
Waiver of premium
Trusts

Terminal illness cover

This should NOT be confused with the more comprehensive critical illness cover discussed later. Terminal illness cover means the insurer will payout the sum assured if the life assured is diagnosed with a terminal illness having less than 12 months to live. Therefore the insurer will effectively payout the death benefit early allowing the remaining time to be a little easier. There are often restrictions on this benefit, whereby the policy must not be in the last 18 months, the diagnosis must be a written diagnosis.