Life insurance is an essential financial tool to help protect your family or provide funds to pay off debts or care for your children. With the increasing cost of college education, many parents are looking for alternative ways to fund their children’s education. Life insurance can protect you and your family from financial hardship by providing a lump sum pay-out in the event of death or at retirement. Life insurance is the financial protection you want to have for yourself and your loved ones. With life insurance, you can provide for your dependents if anything happens to you. It offers financial peace of mind by paying out a lump sum or check at the time of death or permanent disability. Life insurance is a legal contract between two parties. It is provided by an insurer, which transfers funds to the insured person in case of death or permanent disability. One can use this financial safety net to cover medical expenses, funeral costs, and other financial obligations that the insured person may have incurred. Life insurance provides some certainty and stability for families and individuals alike. It can help people plan for their future and be prepared for unexpected events such as loss of income, medical bills, or the death of loved ones.
What is the purpose of life insurance?
Life insurance is a type of financial product that provides a lump sum payment at the time of death to the person who had purchased the insurance policy. In return, the life insurance company will pay out a fixed sum of money to those who had been left behind. Life insurance is a contract between two parties, where one party agrees to pay money if the other dies. It allows the survivor to make a living for themselves and their dependents. Nowadays, life insurance policies can be bought and sold on an open market like any other investment, which opens up new opportunities for people to prepare for the unexpected death of a loved one financially. Life insurance is also an easy way to establish long-term financial security to help your family members in times of need. Life insurance has always been the most important financial protection for people. It is designed to provide financial stability, particularly in the event of death or disability. Life insurance is a form of protection that can provide financial stability for those who cannot afford to lose their income. It gives a sense of security and peace of mind, and the opportunity to save money.
Term Life insurance-
Term life insurance is a type of insurance that ensures the insured person’s health for a specific period. It provides coverage for a fixed period, usually from one year to 20 years, and covers expenses related to health care and funeral services. Term life insurance is typically the most affordable option for most people and is often a good choice if you don’t have a lot of money saved up. Term life insurance is the most straightforward type of insurance. It provides coverage to your family after you have passed away during a fixed term. You can also buy this type of insurance at a lower rate based on the amount of time you want it for.
FAQ-
Which of the following best describes term life insurance?
A. The policy purchased is payable when the policyholder dies.
B. The insured pays a flat premium for a specified period
C. The insured can explore cash value claims or borrow the policy’s cash value.
D. The insured is also covered for their entire lifetime.
Answer- B
The insured pays a flat premium for a specified period.