What is Life Insurance
The concept of insurance goes back to the time of the Romans, but it is only at the XVIIIe century that it took precise forms. It primarily consists in distributing the financier risk between a great number of people who contribute with a common cause. It is a way to minimize the costs in the event of unexpected reverse.
Life insurance makes it possible to protect your survivors or the people with your load against serious financial problems. Life insurance policy is a contract between you and an insurance company which guarantees, to your death, the full payment of the assured capital. In the meantime protect your family with life insurance.
– Which capital to subscribe ?
– How to calculate the amount of insurance life you need?
One generally estimates that the capital necessary must represent between five and seven times your net income. But to evaluate your own situation, it will be necessary for you to carry out an analysis financial needs. That will give you an idea of the capital which your survivors will need after your death. It will be taken into account the goods they will have then, the debts which they will have to settle, and the incomes of which the family will continue to need. Every qualified life insurance Cebu agent can also help you to make a more complete analysis of your financial needs.
It is important to revise your needs of Life insurance investment regularly and being able to change according to your family and professional circumstances. Attention also on the inflation, which could decrease the value of your insurance.
– You need life insurance ?
Some elements of cogitation…
– If you share your life with somebody, what is your contribution in the household budget ?
– If you die prematurely, how will take out there your survivors, especially your children with load?
– Other persons depends on you financially : parents, grandparents, brother or sister?
– If your house is mortgaged, do you want that the balance of the loan mortgage holder is refunded with your death?
– If you have children, do you want to put money on side so that they can continue their studies after your death?
– Do you wish to leave money to other members of your family or at certain organizations?
– Could it play a role within the framework of transmission of a commercial or agricultural company by succession ?
– Could it be useful to pay the tax on the goods transmitted to descendants with your life insurance ?