What is Term Insurance?
Term Insurance is a form of Life Insurance which provides a stipulated cover for a certain period under contractual agreement. Simply put, Term Plan is financial cover in case if the insured dies; death claim is given to the beneficiary.
Why Term Insurance?
A person should get term insurance if he has any dependents, it could be children, wife, parents. Term plan also protects your dependents against any loan payments or liabilities you might have. With a nominal premium, you can get excellent coverage. Term plan is certainly the best means to financially shield your family.
Insurance is promise of compensation for specific potential future losses in exchange for a periodic payment. Insurance is designed to protect the financial well-being of an individual, company or other entity in the case of unexpected loss. Some forms of insurance are required by law, while others are optional. Agreeing to the terms of an insurance policy creates a contract between the insured and the insurer. In exchange for payments from the insured (called premiums), the insurer agrees to pay the policy holder a sum of money upon the occurrence of a specific event. In most cases, the policy holder pays part of the loss (called the deductible), and the insurer pays the rest.
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