Life Insurance is an agreement between an insurance company and a
policyholder, under which the insurer guarantees to pay an assured some
of money to the
nominated beneficiary in the unfortunate event of the p'olicyholder’s
demise during the term of the policy. In exchange, the policyholder
agrees to pay a predefined sum of money in form of premiums either on a
regular basis or as a lump sum. If included in the contract, some other
contingencies, such as a critical illness or a terminal illness can also
trigger the payment of benefit. If defined in the contract, some other
things, such as funeral expenses might also be a part of the benefits.
Life Insurance plan is the safest and the most secure way to protect
your family or dependents against financial contingencies that may arise
post the unfortunate event of your untimely demise. Under a Life
Insurance Contract in India, the insurer assures to pay a definite sum
to the policyholder’s family on his demise during the policy term.
It is the simplest and cheapest form of insurance that is designed to
offer financial protection for a specified tenure, say 15 or 20 years.
ensures that your family gets a large lump sum amount, i.e; sum assured
after your death to lead a financially stable life. However, if you
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