There are so many unexpected things that can happen in life. Not only good things, bad things can also happen at any time without a sign and instantly change a person’s life. Some examples are the risk of illness, layoffs, bankruptcy of companies, accidents and even deaths.
Indeed, life events cannot be completely avoided. However, you can always try to anticipate it using a financial product called insurance. Insurance itself has different types depending on the uses and advantages necessary by the owner.
One of the essentials is life insurance that is able to provide financial protection to the family of a deceased client. So what exactly do we mean by life insurance? For those of you who are curious, consult an examination of the service of life insurance, benefits, submission requirements and advice to choose it below.
What is Life Insurance?
Life insurance is an insurance product that provides guarantees in the form of compensation or sum assured to the family of the customer who dies, has an accident, permanent disability or other involuntary risks. Because of its role, this insurance product is important to have, in particular for those who act as the sole support of family in the family.
Basically, the advantages of life insurance cannot be felt directly by the owner, but on the heirs. Consequently, in order to anticipate the risks listed in these financial products, this insurance is important to have the lives of members of the beloved family, even if they were left by the main backbone of the family.
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Types of Life Insurance
TIME INSURANCE (TERM OF LIFE)
Term life insurance or term life insurance is a life insurance product that provides death protection within a certain period of time. Term life insurance provides sum assured when the insured dies during the contract period, which is usually 5, 10 or 20 years.
During the contract period, the premise is fixed, the premium increases if the participant wants to extend the contract again. The premium will be forfeited when the contract expires. Because the premium is forfeited at the end of the contract, term life insurance premiums are usually cheap and the sum insured is large.
DOUBLE LIFE INSURANCE (ENDWOMENT)
This product is a protection that provides the sum insured when the insured dies within a certain period, as well as providing the entire sum insured if still alive at the end of the coverage period. Because it provides these two benefits, this insurance is called dwiguna. This product is useful for prospective policyholders who want the insured to be protected from the financial impact of premature death.
In Dwiguna Insurance, the customer will get a certain amount of money within the agreed period and the sum insured will be reduced to
LIFETIME INSURANCE (WHOLE LIFE)
Also known as whole life insurance, this product is life insurance that provides lifelong protection, but insurance companies usually provide coverage up to a maximum age of 100 years.
This insurance will provide coverage when the insured dies. Unlike term life insurance, whole life insurance premiums are not forfeited, the insurance company will return your premiums if there are no claims. In addition to the return premium, at the end of the contract, if there is no claim, all the sum insured will be given.
UNIT-LINK LIFE INSURANCE
The benefits of Unit-Link Life Insurance are almost the same as Whole Life insurance, only the difference lies in the benefits obtained by the policy owner. If in Whole Life insurance, the policyholder will only get the sum assured and an increase in coverage, while in Unit-Link life insurance, the policyholder will get additional investment returns
The advantages of life insurance cannot mainly be felt directly by the owner, but on the heirs. Consequently, in order to anticipate the risks listed in these financial products, this insurance is important to have the lives of members of the beloved family, even if they were left by the main backbone of the family.
What are the advantages of Life Insurance?
Supply of compensation when the insured dies in the amount of 100% or more from the sum assured.
Supply of total compensation for permanent disability with a nominal value of up to 100% of the sum assured.
Supply of compensation for partial permanent disability or loss of function of part of the organization, such as legs paralysis, with the total sum ensured in accordance with the written proportion on the insurance policy.
Tips for Choosing the Best Life Insurance and as Needed
Choosing the best life insurance and according to your needs needs to be done carefully and through a number of considerations. Here are some tips that you can follow.
Choose As Needed
The first thing that is important to consider when choosing life insurance is to know what kind of protection benefits are needed. Because, each type of insurance has its own advantages and disadvantages that need to be adjusted to customer needs. Only then will you be able to get the best and optimal protection product.
Check Financial Condition
No less important, you also have to check insurance premiums and adjust them to your ability to pay. This must be observed because the premium burden must be paid regularly every month. If the fee is too large, the risk of difficulty paying premiums will certainly be higher and claim submissions cannot be made when the payment is delayed.
Research and Observe Product Quality
The last tip, be sure to research the legality and credibility of the insurance provider, including the quality of the products it offers. This is done by checking the status of its business at the OJK or the Financial Services Authority, and ensuring that the quality of its products is not inferior to that of competitors.
Closing
That’s the article about Life Insurance Benefits for Your Life Hopefully useful for you. Don’t forget to register yourself in Life Insurance which is very beneficial for your life in the long term. Thank you for visiting this website.
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