Life insurance is a security you buy via bank or similar institution, by paying them a certain amount of money over a period of time. The ongoing payments you make in life insurance will buy protection against risks that you may encounter in your life. The payments are done to an underwriter, who will give you or a nominee a guaranteed payout in case you face a financial or physical loss.
If you are looking for a life insurance cover; CCFD gets you the best online quote.
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Who needs life insurance?
Everyone in the world needs life insurance, whether it's your parents or a new born baby; you need to protect them against unprecedented risks. Insurance is a way to buy coverage for such risks. The amount you will be paid in case you encounter a risk is decided by the kind of insurance you buy and the amount you pay for it.
Now life insurance is divided into a variety of types, but before we discuss the types; you must understand that choosing a company that provides you surety and best returns on your investment is a must. CCFD lets you choose your insurance plans by comparing different plans at once. You can choose a plan that fits your budget and gives you the kind of protection you are looking for. If you are in a job, you may have some existing cover for your illness from the company, by comparing different plans you can understand what works in your favor. Albeit, you must not choose a life insurance with the lowest of installments, look thoroughly into the risks it covers you and the returns it gives.
The insurance coverage will tell you:
The date of its maturity
The risks it covers
What you will get in return, exclusions of incidents if any.
Usually the amount you pay in the start of an insurance plan is high, it reduces or becomes stable as you proceed towards its maturity. The insurance policies have set rules of returns, the amount of time passed in an insurance cover will determine its return. Most insurance companies do not entertain claims made within 3-6 months of the cover; but again there are several inclusions to such cases.
How insurance companies work?
When you approach them for an insurance cover, you will be given choices depending on your age, family members and the kind of insurance you are looking for. An insurance with maximum cover will be longer in duration and expensive in comparison to covers with lesser coverage. Now, CCFD ensures that you get the best deal for your buck; so we analyse your health markers, your age, income and the choice of insurance you make. This helps us in getting you the best quote.
An individual in his early 20’s, living alone, without any health ailments can get a great cover in lesser amounts as compared to a 45 year old male who is living with his wife and kid. The insurance companies only rely on the transparency provided by its clients. They require testing and other reports to validate the details given to them.
There would be certain health conditions that will eventually call for termination of a person, such conditions are not covered by the insurance companies. These conditions are pre evaluated before giving the cover to a person to make his experience smooth.
Types of life insurances:
Term life insurance: As the name suggests it is offered for a particular period of time. For example a person can choose a term insurance to cover himself medically from 38-48 years of age. In an event of death, the nominee will be paid a tax free amount.
Whole life insurance: In this cover, a person will get full cover for as long as the person lives and if he dies in some accident and unfortunate condition; the nominee is given full cover value which is decided beforehand.
Participating life insurance: In this insurance the client is eligible to receive dividends through his whole life insurance cover. The cover in this insurance is guaranteed for your whole life. The dividends you receive can be used to buy more coverage or lower your annual premium cost in the plan. If you decide to keep the plan the same, you can choose to take cash.
Universal life insurance : It is a flexible kind of life insurance that protects both life and savings. In this type of insurance, the client can decide on a guaranteed benefit that you nominee will get after his termination