What kinds of life insurance are there?

Life insurance can be divided into risk protection life insurance and investment and wealth management life insurance.

First of all, risk-based life insurance focuses on protecting people's survival or death risks. Risk-guaranteed life insurance can be divided into regular death insurance, lifelong death insurance, old-age insurance and annuity insurance.

Investment and wealth management life insurance products mainly focus on investment and wealth management, and the insured can also obtain the functions of traditional life insurance. This kind of insurance can be divided into dividend insurance, investment-linked insurance and universal life insurance.

Secondly, the dividend insurance policy holder can get the dividend from the insurance company in addition to the insurance protection, that is, enjoy the operating results together with the insurance company. This kind of insurance is the main insurance against inflation and interest rate changes.

The dividend of dividend insurance mainly comes from "three differences": spread, death difference and handling fee difference. The spread is the gain or loss caused by the difference between the actual investment return rate and the scheduled investment return rate of the insurance company; Death difference is the gain or loss caused by the difference between planned mortality and actual mortality; Fee difference is the gain or loss caused by the difference between the insurance company's scheduled rate and the actual rate. Generally speaking, in the standardized insurance market, there is little difference between the dead difference and the fee difference between insurance companies, and dividends mainly come from spread income.

Finally, there are many insurance channels. Professional insurance brokers, products of professional insurance companies or insurance websites can be considered. Compared with other channels, it is more convenient and cheaper, but you have to choose famous websites, such as China Insurance Network and other large insurance institutions.

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.