Life Insurance

Life insurance is a contract between an insured and a life insurance company, where the insurance company pays a lump sum amount to the nominee/insured in exchange for the premium after a certain period or upon the death of the insured.

What is Life Insurance Policy?

A life insurance policy is an agreement between an insurance company & a policyholder that offers financial coverage under which the insurance company guarantees to pay a certain amount to the nominated beneficiary in the unfortunate event of the insured person's demise during the term of life insurance plans. In exchange, the policyholder agrees to pay a predefined amount of money as premium either on a regular basis or as a single premium.

If covered by the policy, coverage will be provided for critical illness as well.

Since it provides enhanced insurance coverage, it attracts an enhanced life insurance premium.