Individual life insurance
It is the most common types of life insurance. So it covers the person who hires you under the conditions established in the life policy. It usually covers death in accidents and illnesses. So It is possible to add extras such as a bonus for hospitalization, psychological counseling and others. It has a fixed validity period.
Family life insurance
It works the same as individual life insurance, but allows direct family members to be included in sick care. Each insurer sets its conditions, but generally the spouse, children under 25 years of age and parents under 66 can be covered.
Life insurance with savings
This type of life insurance allows you to add an extra to your fixed quota for savings. In this way, in addition to the amount for which you contracted the policy, the beneficiaries receive what you saved in the event of an accident or illness that causes disability or death. Some products allow you to set a new amount every so often.
Whole life insurance
The main characteristic of this insurance is that with the payment of a single installment you are insured until an advanced age (usually 99 years of age). If at the end of the policy you are still alive and you did not use the insurance, you can withdraw the amount that you agreed when you hired it.
Debt life insurance
This insurance provides the same support as the previous ones; but additionally it offers a support for the debts that are had at the time of death. In this way, family members do not have to worry about commitments previously acquired with a financial entity.
Can you take out life insurance if you have a pre-existing health condition?
Yes, it is possible to take out life insurance with a pre-existing health condition. In this case, the company offers a plan with an increase in the base insurance premium; that is, it adds a surcharge to cover a situation of greater risk for the insurer. It is important to notify about this condition, otherwise, the beneficiary could lose the agreed compensation if it is verified that there was a pre-existence.
What is insurance of life?
Life insurance is a contract with an insurance company to receive compensation in case of death, disability or even for some contingency due to a serious illness. In exchange, you pay a premium, which varies depending on the negotiation and the type of policy you take out. It is the ideal option if you want to ensure that you do not compromise the solvency of your loved ones due to disability or death.
Advantages of whole life insurance
Some of the advantages of whole life insurance are the following:
- It is the life insurance that will last your whole life, by this we mean that the insurance coverage is extend until the moment of the death of the insure, no matter where it occurs or what the cause of death is.
- They have different ways of paying the premium; they are different types of payment offers, choosing wisely the one that best suits you.
- The rights of the release of your policy, we refer to this as a kind of redemption or redemption right which is a right of the insured to recover part of the invested capital in case you want to cancel the insurance.
- Permission to receive advances, by this we refer to a kind of advance that the insure can use from the insure monetary capital that must then be return.
Disadvantages of whole life insurance
Some of the disadvantages of whole life insurance are the following:
- The value of the commissions is usually a little higher.
- If the insured dies before the policy reaches its maximum value, the benefit that the family will receive will be based on the nominal monetary amount.
- Some conditions to dispose of the monetary amount depend on whether the insured added a separate clause at the time of the contract with the insurance.
In conclusion, whole life insurance is a product of great specification, which is advise by professionals who will show you how it is adapt to your respective needs and how it will help the safety of your family, without a doubt the whole life insurance aims Provide the insure with a capital with which to compensate his family for his death.