January 31, 2019

What is life insurance?

Life insurance is a contract between an insurance company and an insured (customer). Life policies can either be for protection against the insured event; or can be an investment where the aim is to save and grow your money.

The insured pays the premium and the insurer promises to pay a sum of money to an appointed beneficiary when the insured event occurs. Depending on the type of policy one takes, events such as terminal or critical illness, death and disability can trigger payment.

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