Why should I take a life insurance policy?
A life insurance policy is a risk management endeavor by which you insure your life so that in the event of your untimely demise, your beneficiaries or dependents receive the death benefit accruing from the life insurance policy based on the premiums you have paid out for the stated period.
What are the pros and cons of term life insurance?
Term life insurance is a life insurance policy that requires you to pay a fixed premium for a certain period ranging from 20 to 30 years. The major problem with term life insurance is that the policy remains valid only for a specified period. In other words, if you take the policy when you are young and healthy, it might very well expire in twenty years, leaving you and your family uncovered for risk post the policy term. This means that if you live longer than the term of your policy, you receive nothing for your investments.
On the plus side, term life insurance is the cheapest kind of insurance policy available, allowing you to pick up large face value insurance policies sat one fourth the cost of a corresponding whole life insurance policy.
What are the pros and cons of permanent life insurance?
The major benefit of permanent life insurance policies is that they do not expire for as long as your premium payments are made. Another important benefit is that most permanent whole life insurance policies allow the accumulation of a certain cash value that can be claimed when required. Also, there is a limited tax liability on such investments.
How do I get a no medical exam life insurance policy?
Generally, life insurance policies that are paid for by an employer, covering their employees are given without the need for the insured to undergo a medical exam. Simplified issue life insurance policies and guaranteed issue life insurance policies are the two kinds of no medical exam life insurance policies that one could avail off, albeit at a higher premium.