What we have a policy of life?

One of the most important insurance that should have a life insurance .

In the UK, there are the following policies :

1.           "Life insurance" - this is the simplest life insurance. The sum of compensation may be paid as a lump sum or regular income . About this compensation, we strive after the death of the insured. This insurance is cheap and gives a lot of privilege.
2.           "Critical illness cover" - it is insurance available individually or as a supplement to life insurance . This is an additional insurance for the diagnosis of a serious illness such as cancer. Such insurance is more expensive than life insurance.
3.          "Income protection policies" - it is insurance against injury or any other condition associated with the consequence that prevents the profession . Insured under the policy receives a regular income to compensate for his lost income from salary. Insurance also operates under the name " Permanent Health Insurance "
4.          "Private medical insurance" - insurance covers the costs of private medical treatment in various medical facilities. Allows the insured to quickly obtain treatment and a convenient time for him , minimizing absenteeism at work.

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What amount life insurance to choose?

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When you decide to purchase life insurance we have to choose the appropriate amount of the sum insured, so that in the event of death, it will secure the necessary needs of the family. Many people insured in the event of death, will have a sum around £50-100 000, but for many families this amount is insufficient. 

When determining this amount, we have to consider our current financial needs, multiply them by the next 12 months and a minimum of 10 years, and we cannot forget that these needs may change. Most life insurance protection can be likened to a car liability insurance, if there is an accident the insurer will return the money in the form of compensation to you and others injured in an accident but if an accident does not happen, fees are not refunded and the protection risks in ordinary life insurance is the same. 

Let’s say you choose term insurance eg. For 10 years, and during this time nothing wrong will happen, the policy is finished and there is no premium returns, but with the insurance with investment elements you can count on the return of parts of the paid premiums, but this can highly depend on the situation and times.