Life Insurance

Human life is subject to risks of death and disability due to natural and accidental causes. Life Insurance is a financial cover for a contingency linked with human life, like death, disability, accident, retirement etc and provide financial protection to the Policyholder’s family in the event of such happening. Followings are the most common form of Life insurance policies being offered by insurers in India:

Term Life is pure risk-based life insurance plan which provides financial protection to the policyholder’s family in the event of his/her death during the policy period. These policies last for a specific term of years and the death benefit are paid to the insured nominee only if the policyholder’s death occurs in the specific period.

As evident from the name a whole life policy is for the whole life of an individual. These policies provide long term protection and both survival and death benefits with possibility of Survival bonuses in many cases.

An Endowment plan is a combination of term life policy and a pure endowment plan to form an Endowment Assurance Plan. This provides both the death benefits in case the insured dies within the policy period or survival benefits and bonus in case the insured survives the said period. In Money back form of policy insured is provided survival benefits at various fixed intervals during the policy term.

A unit linked insurance plan is a fixed term plan which provides a combination of insurance protection and investment benefits. Individuals who want more from the insurance than just protection should opt for this plan.