What types of insurance does life insurance cover?

Hello, life insurance, that is, life insurance, the condition for getting out of danger is death or total disability.

The biggest role is to avoid the extreme risk caused by the death or total disability of the main income source of the family.

Life insurance includes: one-year life insurance, term life insurance and whole life insurance.

1. One-year life insurance

The price is relatively cheap, but every time you apply for insurance, you need to inform your physical condition, so it is more difficult to renew your insurance later.

2. Term life insurance

Avoid the risk of premature death from family support. If the claim conditions are met within the warranty period, you can pay compensation. Insurance money is often used for family living expenses, child support, parental support and later debt settlement.

3. whole life insurance

Lifelong compensation has strong savings, and the income obtained is more as wealth inheritance to avoid inheritance tax.

Whole life insurance can be divided into regular whole life insurance and increased whole life insurance.

Fixed whole life insurance, since the effective date of the insurance contract, the insured amount has been fixed.

If whole life insurance is increased, the insured amount will increase year by year in proportion.

The initial protection is low, and the death/total disability protection is relatively small. In the middle and late stage, the protection will be doubled on the initial basis, and the death/total disability protection will be greater.

In addition, the cash value of whole life insurance increased in the middle and late period is also considerable, which is basically equal to the insured amount in the later period.

In the life of the insured, it is no problem to get considerable benefits in advance by reducing or surrendering insurance.

Therefore, the increased whole life insurance has stronger financial management attributes.

If you just want a pure life insurance, term life insurance can meet the needs of most people.

Guarantee the period of time when the insured is the economic pillar of the family, and prevent the fatal blow to the family caused by his unfortunate death/total disability.

Generally, it is not recommended that you choose a fixed whole life insurance. On the one hand, the cost performance is not as good as that of term life insurance, and on the other hand, the income is not as high as that of whole life insurance.

So when we say whole life insurance at ordinary times, we mostly mean whole life insurance.

I hope dad's answer will help you ~