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Life Insurance Handbook
Budget - Life Insurance
 
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Insurance cannot prevent the insured event from happening. It can only provide compensation for the loss that comesas a result of the insured event happening.

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You need to get Insurance cover, if you know that you are the only source of income for your family.

There could be several reasons too for life Insurance cover. Your loan/ mortgage payments, your wife/ spouse and childrens, your business, pension, etc. These are some reasons why people opt for life insurance. Unless you have a valid reason to insure your life, don't do so. It is important to know that a life insurance policy will simply ensure your family spend their lives in relative comfort. You will have to define your objectives before you go for an Insurance cover.

Taking out a policy for insurance involves making crucial decisions such as how much you want to be covered for. Some people take out a insurance cover policy for an amount that they cannot afford to pay for. Always ensure that you take your budget into account before you pay for a life lic policy.

What is insurance
Insurance is a contract between the insurance company (insurer) and the policyholder (insured). In return for a consideration (the premium), the insurance company promises to pay a specified amount to the insured on the happening of a specific event.

life insurance, can safeguard a person against unexpected events.

 

 

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