Whole Life Insurance:Preparing serenely for the future of his family, while preserving his family patrimony, is a crucial issue for many people.
The very idea of this type of insurance is to have a financial security for his relatives on the day of his death. To do so, there is a simple and secure solution proposed by insurance companies: “whole life insurance”.
In other words, this type of retirement benefit contract is subscribed in order to pass on a patrimony to one or more beneficiaries. This product can be differentiated from conventional life insurance, the primary objective of which is to have a financial investment.
Whole Life Insurance::Freedom of choice over the amount of capital
The advantage of this whole life insurance is that it allows the insured to determine the amount of death benefit he wishes to pass on to his relatives. The amount of its contributions will be determined according to the chosen payment terms: single premium, contributions for a given period or life premiums.
In reality, this saving operation can be very interesting for the insured. This feature is based on the fact that even if the contributions paid are less than the sum insured, the capital paid in the event of the insured’s death can not be lower than this sum insured.
Death insurance can be made regardless of the policyholder’s age as this insurance transaction no longer directly concerns the insured but rather the savings accumulated by the latter. However, the insurer reserves the right to accept or refuse membership according to the medical assessment performed on the insurer prior to the subscription of this type of product.
A capital transmitted out of succession
The capital paid to the designated beneficiary (ies) does not form part of the estate assets. This is therefore done without succession, thus allowing, in principle, to be exempted from a part of the rights of succession. One of the undeniable advantages of this type of life insurance product.
The beneficiary or beneficiaries named in the contract must be clearly identified at the time of subscription in order to receive the capital upon the death of the subscriber. In addition, it is possible that the insured is set up “a beneficiary clause” in which he determines the order of the legatees (eg the death of one of the beneficiaries before the subscriber). However, prior acceptance of the beneficiary is not necessary but may, nevertheless, deprive the subscriber of the possibility of modifying the term “beneficiary” of the contract. Caution should be exercised when setting up the death insurance.
And finally, it is quite valid to insert a buy-back clause for the entire life insurance policy. The subscriber will be able to recover some or all of the capital before the end of the contract. In other words, there is no financial loss, excluding redemption penalties, for the insured. On the other hand, if the beneficiary has accepted this contract, it is then obligatory to obtain its agreement before proceeding with the redemption.
The post Whole Life Insurance: What does it mean? appeared first on insurance,auto insurance,health insurance,Motorcycle insurance,Home Insurance,Animal insurance.
Source: http://ift.tt/2nxhcgo
I'm a web redactor,i like doing seo,content and links optimisation,audit and blogging .
ConversionConversion EmoticonEmoticon