Life Insurance

by Jatinderbir Singh Bajwa, Insurance Broker


Choosing Life Insurance

In the simplest terms Life insurance is a contract made between an insured (insurance policy holder) and an insurer, where the insurer promises to pay a designated beneficiary a sum of money (the "benefits") upon the death of the insured person. Depending on the contract, other events such as terminal illness or critical illness may also trigger payment. The policy holder typically pays a premium, either regularly or as a lump sum. Other expenses (such as funeral expenses) are also sometimes included in the benefits.

life insurance

A proper financial plan can mean the difference between leaving your loved ones well-positioned financially and leaving them to cope with debts and an inadequate income. Life insurance is used to protect the financial security of the people you love most.A life insurance policy pays a cash benefit, tax free, to your beneficiaries when you die. The amount of money for which you are insured and the type of insurance you buy depends on your needs. People can get life insurance through work (some employers offer it through group benefits plans. This type usually ends when you leave the employer.)or they buy it on their own (usually from an insurance advisor).

 

Life is always full of surprises! Life insurance can assist in creating financial security for you and your family. If you should die prematurely, it can be used to:

  • Pay final expenses and any debts
  • Provide an income for your family
  • Ensure your family has the resources to maintain a comfortable standard of living
  • Leave a legacy to your favorite charity 

Some life insurance policies can have benefits even when your still alive:

  • They can build tax-advantaged savings you can draw upon as needed for personal or business opportunities
  • They also supplement your retirement income or provide for long-term care or home care for yourself or a family member.
  • If you’re not familiar with life or living benefits insurance, it can seem like a different language. You’ll hear things like whole life, universal life, critical illness, term insurance, and temporary and permanent needs. Understanding a bit about insurance can help you make an informed decision about the coverage that’s right for you, your family or your business.

Basically, life and living benefits insurance can be broken into two types:

  • Insurance to meet your temporary needs.
  • Insurance to meet your permanent needs.

What Is The Best Type of Life Insurance?

If you’re not familiar with life or living benefits insurance, it can seem like a different language. You’ll hear things like whole life, universal life, critical illness, term insurance, and temporary and permanent needs. Understanding a bit about insurance can help you make an informed decision about the coverage that’s right for you, your family or your business. Basically, life and living benefits insurance can be broken into two types: insurance to meet your temporary needs and insurance to meet your permanent needs.

 

Choosing the Right

Policy Choosing the right policy can be a confusing process. Some questions you should ask yourself are:

  • Will the policy meet my current needs?
  • Will the policy provide the flexibility to meet my future needs?
  • What does the policy cost–both current and expected lifetime costs?
  • Is the provider established and financially strong?

What Is The Best Type of Life Insurance?

If you’re not familiar with life or living benefits insurance, it can seem like a different language. You’ll hear things like whole life, universal life, critical illness, term insurance, and temporary and permanent needs. Understanding a bit about insurance can help you make an informed decision about the coverage that’s right for you, your family or your business. Basically, life and living benefits insurance can be broken into two types: insurance to meet your temporary needs and insurance to meet your permanent needs.

 

What Is The Best Type of Life Insurance?

If you’re not familiar with life or living benefits insurance, it can seem like a different language. You’ll hear things like whole life, universal life, critical illness, term insurance, and temporary and permanent needs. Understanding a bit about insurance can help you make an informed decision about the coverage that’s right for you, your family or your business. Basically, life and living benefits insurance can be broken into two types: insurance to meet your temporary needs and insurance to meet your permanent needs..