Life feels more beautiful and secure when we break out of the shell of financial uncertainties. Being assured that a life insurance can take care of us and the family in our absence can truly bring harmony in life. Life insurance is all about assuring financial security to family on the death of the insured. Life insurance can also be purchased to pay off debts and other financial obligations on death of the insured. Since the purchase of a particular life insurance is based on the financial requirements of a family and the person at a later stage of life, there are number of insurance providers with different types of plans which are designed to suit the necessities of a person. It is important to checkout different plans before arriving at a decision. It not only saves money but also lets the insured person plan for the future more effectively.
Life insurance is basically a contract between the insured and the insurer whereby the insurer pays certain sum of money to the beneficiary of the insured on his/her death. Life insurance can also be used as a cover against financial debt of the insured person so that the insured sum is paid off on the his/her death. A life insurance plan typically involves various factors which decide the fruitfulness of a plan to a particular person. A person should have good understanding of all the terms and conditions before signing for an insurance plan. At Protection Solution Center, we provide consumers with different types of insurance policies. We make sure that our consumers are completely confident about their life insurance decisions.
Term Insurance: Term insurance is a plan which insures the life of a person for a specified period. The death benefit, which is the amount that is entitled to the beneficiary on the death of the insured, is paid off if the person dies during the insured term. The term typically lasts from 10-30 years based on the type of plan. The policies do not include any cash value part.
Whole Life Insurance: Whole life insurance insures a person for his/her entire life. On death, the beneficiary receives the death benefit. The plan also includes cash value accumulation which can be utilized by the insured during his/her life. The premiums paid towards a whole life plan might be high when the person is young and reduce the as the person gets older. This is done in order to create a balance in premium payment since at older age cost of protection is higher.
Universal Life Insurance Universal policies are very flexible. The insured can skip premium payments and vary death benefit during the term. The plan allows such changes because each of the three factors cash value, premium and death benefit are kept separate in the plan.
Variable Life Insurance: The variable factor in the plan is the death benefit which is linked to the underlying assets of the policy. When the interest on the accrued fund increases, the death benefit increases and vice-versa.
An annuity plan is designed to pay annuities to a person, usually during his/her retired life. There are different types of payment options based on annuity plans. A consumer can chose to pay lump sum amount to insurance company and receive the payment in installments immediately. The plan is termed as immediate annuity. In deferred annuity plan, the amount paid by the consumer is accrued along with interest rate over a period of time. The money can then be paid out in installments as per the preference of the consumer.
The choice of a particular plan should be based on future requirements of the insured and the beneficiary. The life insurance sum also depends on how much a consumer can afford to pay. Check our other insurance policies such as Health Insurance Moreno valley, Business Insurance, Auto Insurance Moreno Valley, Home Insurance Moreno Valley and so on.