It Is A Popular Policy As It Is, In The UK

Category: Finance, Insurance.

If we count our possessions to assess our most important assets, our lives would always rank at the highest. It is a popular policy as it is, in the UK.

It thus makes perfect sense to give it the protection it deserves with a life insurance policy. It is a positive sign that more and more people are getting down to understand its benefits and apply with the many convenient means and resources available these days. In the event of your death, your family or your dependants or beneficiaries, as who you name in the policy, shall be eligible to receive a lump sum amount upon claim. There are two main types of life insurance policies: Level Term Life Insurance Being the cheapest form of insurance, it is also perhaps the most preferred one. With not much to spend thus on high premiums, you can have the peace of mind that an insurance policy brings to you. And this is where the policy derives its name from.

Although this policy is applicable only in case of death of the holder during the term of the policy, the payments remain the same without any worry of hikes for a a fixed term. The fixed payment for fixed term helps you to calculate your payments till the term applies. Whole Life Insurance: This may prove to be a better deal if you' re thinking from a long- term perspective, although the premium may be on the higher side. However, as soon as the term expires which is generally to the tune of fifteen years, the validity of the policy is over and no insurance claims can be entertained thereafter. This policy has no fixed period and is applicable for insurance claims anytime no matter when the insured person's life ends. Apart from availing to these two major kind of life insurance policies, you can also go for add- ons like critical illness cover.

So this policy, as the name suggests, works for your whole life and guarantees a payout when you die.