We start we definition of Life Insurance
Life insurance is an insurance coverage that pays out a certain amount of money to the insured or their specified beneficiaries upon a certain event such as death of the individual who is insured
- Basic coverage for all type Life Insurance
- Sum Assured (click here to know more)
- Coverage for Critical Illness (click here for the list of Critical Illness)
How many types of Life Insurance available?
Basic types policies are
- Term insurance
This offers insurance protection for a limited period only whereby the money is paid up if you pass away or if you suffer total and permanent disability.
- Whole life insurance
Life-long protection and premiums are paid throughout your life and the money including any bonuses will be paid when you pass away or suffer total and permanent disability.
A combination of protection and savings whereby the money will be paid at the end of a specific period upon your demise or if you suffer total and permanent disability.
For investment-linked insurance, your premium is used to buy life insurance protection and units in a fund managed by the life insurance company. The benefits paid to you or your nominee will depend on the price of the units at the time you surrender your policy or when you pass away.
- Life annuity plan
Series of payments paid to you until you pass away. Types of annuity include immediate annuity or deferred annuity.
- Supplementary rider/cover
A rider is a supplement attached to the basic insurance plan such as endowment or whole life.
- Mortgage reducing term assurance (MRTA)
An insurance protection plan that covers the repayment of an outstanding property loan to the financial institution in the event of untimely death, disability or critical illness of the borrower.