What is Life Insurance?
Life insurance provides essential financial protection for your loved ones, ensuring they are supported in the event of your passing. This policy delivers a lump sum or ongoing payments to beneficiaries, giving them financial stability during a difficult time.
Types of Life Insurance Policies
- Term Life Insurance: Covers a set period, paying out if the insured passes within the term.
- Whole Life Insurance: Offers lifelong coverage with a cash value that grows over time.
- Endowment Policies: Provides life cover combined with savings, paying out upon death or at the policy’s maturity.
- Universal Life Insurance: Features flexible premiums and death benefits with a savings component.
Key Benefits
- Death Benefit: A payout to beneficiaries that provides financial security.
- Cash Value: Accumulated funds that can be borrowed against (in whole life policies).
- Premiums & Riders: Options to customize coverage, such as critical illness add-ons.
Tax & Claims Process
While premiums are generally non-deductible, benefits received may be taxable. In the event of a claim, beneficiaries need to notify the insurer, provide necessary documents, and await payout processing.
Choosing the Right Policy
Evaluate your family’s financial needs, compare options, and consider consulting an expert to find the best coverage for your goals. At Rayabbay Global Insurance, we offer expert guidance to help you secure peace of mind with a life insurance policy tailored to your needs.