Permanent Life Insurance Quote: Life Insurance acts as a guard against a possible situation of economic constraints and the beneficiary will receive a sum of money in case of his death. Giving peace to his family.
3 Types of Permanent Life Insurance | Permanent Life Insurance Quote
1. Traditional Permanent Life Insurance
Life insurance is death insurance. THE INSURER ASSUMES THE RISK OF THE DEATH OF THE INSURED.
The key is to know when death will occur. As it is impossible to establish it, the insurances are handled with the probabilities that are to say taking into account the mortality rate. By studying the number of people, who die per year, age and average sex, an annual amount of premium plus interest is established.
Traditional insurance offers protection for a fixed term, which is defined at the beginning of the contract. In traditional insurance, the amount of the fees is always the same and you can not withdraw money before the time agreed in the contract. The payment of the premiums must be made within the terms established in the policy, in turn, the amount to be paid cannot be different from that contained in it.
2. Universal Permanent Life Insurance
Universal Permanent Life Insurance provides more flexibility to the insured in relation to the death benefit, premiums, and cash value.
It offers the possibility of varying the amount to be paid to the beneficiary, whether it is desired to decrease or increase the value of the policy without the need for cancellation and subscription of a new policy. In this way, it is flexible depending on your income or changes in your insurance needs.
Some policyholders start with a form of payment, for example, monthly payment, and they want to change it to a semi-annual or annual payment. This insurance offers the possibility of varying the frequency of payments and also the amounts to be paid. In this mode, you will have the possibility to decide, what amount of money goes to the premium and what amount to invest. There are certain limitations that you will have to respect.
You will have to pay the minimum to maintain the death compensation and the insured decides how much to allocate to the reserve fund.
Like all temporary insurances, you will have increases according to your age.
In permanent universal insurance, the accumulation yield in the savings account is higher than in other permanent insurances, because a minimum percentage of return is guaranteed. They will be greater if the company has made good investments.
3. Variable Permanent Life Insurance
The Variable Permanent Life Insurance provides investment risk to the insurance because it allows the insured to invest the accumulated savings in securities such as shares, mutual funds, etc. variable. Keep in mind that the investment risk will run the insured, the insurance company does not guarantee any type of performance.
It is considered variable due to fluctuations, which can occur in the value of the insurance and in the investment accounts. If the investment made is correct, the value of the insurance will increase and more money will accumulate in the savings account than in any other permanent insurance. But, if a good investment is not made, the premium will be very expensive.
There is complementary insurance for accidental death and absolute and permanent disability that can be considered, to expand any of the Life Insurance. It would have full coverage against unforeseen events of serious illness or accidental death.
They are safe that do not affect the total cost of insurance. These insurances provide an amount based on the annual premium contracted. That is a very convenient insured for professions with risks because it guarantees coverage for any type of accident.
The complementary insurances are optional and cannot be contracted independently. They are complementary because they have to be linked to the main insurance.
It is an automatic annual renewal, with a percentage increase or cumulative fixed index. The advantage of contracting this insurance is that it includes accidental death and permanent or absolute disability for any work environment. Therefore, it is especially complete for people with risky jobs or for those who are self-employed who protect them from an accident.