Tuesday, 21 June 2016

Life Happens But How Prepared Are You?

Life insurance should be one of the most important insurance every family should have in its armory. Most people try to shy away from life insurance which actually is like shying away from the inevitable. As much as we don't like to talk about it, death happens to us all. Since we cannot escape it, what happens to people you love after you're gone? This is what life insurance hopes to answer.

Having life insurance ensures that your loved ones receive a lump sum of money when you did. This will go a long way to reduce the financial burden on them. While having a life insurance is important, according to insurance experts at Greater National Group, it is certainly not the end of it. You have to keep it updated by reviewing the terms it covers. This process ensures the coverage is sufficient enough in case of an unexpected loss of life.

Basically there are two main types of life insurance: Term insurance and whole-of-life insurance. The second one seems self-explanatory with the name but Term insurance is one that would pay you a lump sum if you die within specified number of years. This type of life insurance would need periodical renewal to stay viable. Whole-of-life insurance offers coverage and protection for a lifetime. Ideally, its premium is more expensive than the Term insurance.

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