Ten things you should know about Life Assurance

1. The main reason for buying life insurance is to ensure that your loved ones are cared for in the event of your death.

2. Life insurance policies are calculated by underwriters that determine the amount of money needed to replace your income in the event of your death.

3. Life insurance is typically purchased to cover the cost of the mortgage re-payments, and other bills, in case of death of persons responsible for paying the mortgage; special policies under which premium costs reduce the amount of mortgages is reduced, these are known as mortgage life insurance.

4. Insurance policies vary their fees for maintaining the policy, and the amount to pay the death or termination of the contract (the insured amount), depending on some characteristics of the contractor (s), including age, sex , health and employment.

5. Three types of life insurance policy to exist; Term Assurance is a contract that lasts for a fixed term and aims to provide financial protection against death; All life is similar to making a financial investment, a premium is paid at specific intervals and is designed to provide the sum insured in the event of death or a specified later date; Endowment Assurance is similar to whole life insurance, however, these policies mature, which means that after a certain period of time the sum insured is payable If the contractor (s) are dead. For both types of insurance the past, there is a chance to surrender the policy at any time in order to receive a lump sum, the amount being determined by the length and amount of the premiums so paid.

6. Life insurance is very difficult and expensive to obtain after the age of 70, usually, the older you are the highest premium rates will be.

7. Generally, people who smoke are offered very high premiums, this is because smoking is considered very high risk.

8. For a sum assured payable to an individual in case of death, the policy must be active at the time of the event.

9. Many policies offer health insurance coverage Terminal, and will pay out in case of terminal illness, once a doctor has certified that death should be within 12 months.

10. The minimum period for a policy of life insurance is normally a period of 2 years, although most of the policies for the last between 20-25 years or more.

Life insurance should be considered as a necessary feature of your financial arrangements, which will provide you with peace of mind that your family will be cared for in the event of your death .......