Risk insurance or risk life policies
This types of insurance stands out for one main characteristic: the contracted capital is paid immediately after the death of the insured if it occurs before the end of the term of the insurance. In the event that the insured person survives the insurance period, it will be cancelled, with the premiums in favor of the insurance company.
However, it should be noted that there are two types of these insurances: temporary and whole life.
- Whole life insurance: it covers the risk of early death before the end of the contract. In this insurance, the risk component prevails over different variables. The duration of the insurance is one year, renewable up to a certain number of periods. The cost is usually not very high. It also allows contracting high coverage.
- Temporary insurance: its hiring is usually for the protection of mortgage obligations, guarantee of cancellation of doubts or as extra protection for the family.
Whole life insurance
Whole life insurance its coverage throughout the life of the insured, but permanently, yes, without a term. Compensation is paid immediately after the death of the insured, regardless of when it occurs.
On some occasions, the restitution of the capital to be insured is added. If the person survives to an age, ending the contract. In the latter case, we /would speak of life, death or mixed insurance.
In this type of insurance, we highlight two different modalities:
- Life insurance with lifetime premiums: in this type, the premiums are paid throughout the life of the insured. Thus, your coverage continues.
- Whole life insurance with temporary premiums: payment is made only for a few years or until the insured person dies.
Life savings policies
The main objective of insurance of this type or for retirement or survival is to obtain capital at the end of the agreed term. Its purpose is medium or long-term investment to complement a retirement benefit for capital accumulation that allows it to face future and unexpected situations.
In this section, it is worth highlighting mixed insurance. This product brings together both risk and savings insurance in one contract. Thus, the insured will be covered in the event of death (in this type of case, the beneficiaries receive compensation) and, in addition, will have a benefit if they survive to an age stipulated in the contract.
Rent insurance
In the case of income insurance, there is a single capital contribution or the payment of a premium. But for a certain period of time. The insured, in this way, has a guaranteed life annuity (amounts are paid while the insured lives, with a fixed or variable amount) or a temporary annuity (with a specific period of time).
These are the different types of life insurance. If you want insurance, remember to make comparisons to see how much you would pay or receive in each case. It is important to know the different types that exist for each case. As well as their characteristics in order to plan the contracting of insurance.
