What Different Kinds Of Life Insurance Are There?


3 Answers

Anonymous Profile
Anonymous answered
There are four main types of life insurance, or life assurance, as it should more properly be called. Technically speaking, assurance protects you from something that definitely will happen, but you're not sure when, and insurance protects you from something that may happen, but equally may not happen.

Level term assurance will pay out a set amount of money if you die, and sometimes, depending on the policy, if you are unable to work because of sickness or accident. The 'term' refers to the fact that the policy has a time limit, and if you are still alive at the end of that term, you don't get any money.

Mortgage protection decreasing term assurance (or MPDA) describes a policy that covers a repayment mortgage (as opposed to an interest-only mortgage). Because the capital amount owing on the mortgage decrease over the life of the mortgage, so does the amount of cover. So the longer it goes on, the less it will pay out.

Whole of life policies will pay out a lump sum on death, and they are not restricted by a term. There are many different variations, some come with a savings element, many have a set amount that pays out whereas others will increase the payout as time goes on so that it increases with inflation ('with profits' policies).

This is a complex area and it is essential to obtain qualified advice before entering into any insurance policies.
dave parsons Profile
dave parsons answered
There are four basic types of life insurance , type one; the really overlooked type of life insurance is cheap..... That,s right CHEAP life insurance ... Most of these policies are issued through smith and wessen ,colt, glock ,and uzi .... They tend get more attention right here in da hood an therefore get overlooked out in black hawk. Type2; is TERM life insurance SHORT TERM like when a homey rats out his bro to keep from going to jail on another nickel bag case (cause he just going to die if he got go back to jail) that's short term life.....type3; is quality life insurance ..the policies go to stand up dudes who keep there nose in their own yard and their mouths closed...type4; requires you to back up your bet when the dealer is showing 10 or 11
Anil Kumar Profile
Anil Kumar answered

Life Insurance policies provide a financial protection for you and your loved ones against the unfortunate events of life. That means if the insured expires due to illness or an accident, the insurance provider will pay an accumulated cash amount to the beneficiary to repay the loans and take care of their essential expenses. Basically, there are two types of life insurance policies: Term Life Insurance and Whole Life Insurance. Term Life Insurance is provided to the insured for a limited number of years, maximum up to 30. If the insured expires within this period, their loved one will receive the death benefits but if they outlive this policy-term, no benefits will be offered to them. But Whole Life Insurance is made to protect you throughout the life and provides a death benefit whenever they expire.

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