The Consumers prefer to buy Products Term Insurance
A purest form of life insurance policy is a term insurance plan is the most preferred by consumers. This could mean that the sum insured paid to the prospective insured if the insured person dies during the term of the policy. Meanwhile, if the insured survive the policy on period in good condition, then the insured does not receive compensation in many cases.
A term insurance seems similar to the long-term policy of motor insurance. For example, there are certain insurance products where premiums returned to policyholders if he survived the policy on period in good condition. “Long with a premium return” policy is the designation of these policies and these needs to cost more than pure insurance policy, a term for the same level of life insured.
One of level insurance coverage is extensive practical rule which is 15 times the annual income if the insured’s age less than 40 years, 10 times the annual income if the insured’s age between 40 to 45 years and 5 times the annual income if the insured’s age is 45 years or more. Therefore, if you have a significant mortgage, you must have the loan covered through additional credit life insurance program, which the insurance company will repay the loan with your bank in case of death.