Types of Life Insurance

Written by John Mussi


Continued from page 1

is whererepparttar sum assured decreases over time; hence,repparttar 141936 premiums are set lower. This is commonly used to cover a mortgage.

Whole Life Insurance

Life insurance that remains in force duringrepparttar 141937 insured's entire lifetime, provided premiums are paid as specified inrepparttar 141938 policy. Whole life insurance also builds a savings element (calledrepparttar 141939 cash value) as a result ofrepparttar 141940 level premium approach to fundingrepparttar 141941 death benefit.

Burial Insurance

Burial Insurance, or Final Expense Life Insurance, is essentially a whole life product with small face values. The application process is simple and does not haverepparttar 141942 associated medical requirements of other policy types. This type of life insurance is also referred to as a simplified issue or guaranteed issue policy.

Survivorship Life Insurance

A type of whole life insurance which insures two people and pays benefits only afterrepparttar 141943 second person dies. It is generally designed to provide funds to pay estate taxes.

Universal Life Insurance

An unbundled whole life insurance product in whichrepparttar 141944 mortality, investment, and expense factors used to calculate premium rates and cash values are expressed separately inrepparttar 141945 policy. In a universal life insurance policy, any applicable expense charges are deducted fromrepparttar 141946 premium andrepparttar 141947 remainder ofrepparttar 141948 premium is then credited torepparttar 141949 policy's cash value. Each monthrepparttar 141950 insurer deductsrepparttar 141951 mortality costs fromrepparttar 141952 cash value and creditsrepparttar 141953 remainder ofrepparttar 141954 cash value with interest.

Variable Life Insurance

A form of whole life insurance under whichrepparttar 141955 death benefit andrepparttar 141956 cash value ofrepparttar 141957 policy fluctuate according torepparttar 141958 investment performance of a separate account fund. Most variable life insurance policies guarantee thatrepparttar 141959 death benefit will not fall below a specified minimum. A minimum cash value is seldom guaranteed.

You may freely reprint this article providedrepparttar 141960 author's biography remains intact:

John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the www.directonlineloans.co.uk website.


Guide to Life Insurance

Written by John Mussi


Continued from page 1

You can increase or decrease your cover at any time, add another life ontorepparttar policy and add other elements torepparttar 141935 plan such as critical illness cover, income protection or mortgage protection.

If your circumstances change you can increase your cover to make sure your family is protected.

Life insurance creates an estate for your heirs. After your debts and expenses are paid, there may not be much left over for your family but life insurance can automatically provide assets for them after your death.

There are several kinds of policies that may be available to you, if you are healthy enough.

Smoking is detrimental to health and is a leading cause of life threatening illnesses. As a result smokers pay higher premiums than non-smokers asrepparttar 141936 risk of them dying early is greater. I f you smoke and do not declarerepparttar 141937 fact, you runrepparttar 141938 risk of invalidating your policy if you have to make a claim.

It is a known fact that women tend to live longer than men. A female who insures herself using a 'level-term' policy is likely to have lower premiums than a male. This is based onrepparttar 141939 fact that females live longer and are less likely to claim duringrepparttar 141940 period insured.

Age is a factor inrepparttar 141941 successful application for a life policy. Most insurers have an age bracket of seventy-five forrepparttar 141942 provision of insurance. If you are overrepparttar 141943 age of seventy-five it is unlikely you will be able to find cover.

Finally,repparttar 141944 older you arerepparttar 141945 greaterrepparttar 141946 risk torepparttar 141947 insurance provider sorepparttar 141948 higher your premium will be.

You may freely reprint this article providedrepparttar 141949 author's biography remains intact:

John Mussi is the founder of Direct Online Loans who help UK homeowners find the best available loans via the www.directonlineloans.co.uk website.


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