Life Insurance

Life insurance refers to an agreement between an individual and an insurance company under which the latter promises to provide a sum assured (death benefit) to the family of the life assured in the event of an untimely death of the life assured. In case of no death, a sum assured known as the maturity benefit is provided at the time of maturity of the policy under certain life insurance plans. Some insurance companies also offer optional coverage for critical illnesses. Besides the standard coverage, other benefits are provided in accordance with the type of life insurance plan chosen.

Life insurance is a common option considered by many people for financial planning to secure their future. Life insurance policy can help you ensure financial protection of your family in case of your unforeseen demise. At the time of purchasing a life insurance policy it is essential for you to understand how a life insurance policy works and how your nominees/beneficiary can receive the proceeds of your life insurance policy.