1.5 Principles Relating to Long Term Insurance Policy
A. Long-term insurance cover principle Long-term insurance is not indemnity insurance. This means that the policy holder can choose his own level of cover (within reasonable amounts, based on their current income), the sum assured and whether he is insuring his own life or that of a family member or debtor. In principle, a person […]
1.4 Terminology Relating to Long Term Insurance Policy
Parties in a long-term insurance policy The following parties can be involved in a long-term insurance policy: Proposer: The person or entity applying for a policy. Policy holder: The policy holder is the owner of the policy but is also sometimes known as the contracting party. This is the person who takes out the policy […]
1.3 General Features of Long Term Investment Policies
Long-term investment policies assist clients with saving up for a specific goal such as children’s education. A. Endowment policy Endowment policies, in return for a premium paid, provide a mix of life cover and investment. Such policies have a surrender value and can be with-profit policies i.e., the return on the investment portion of the […]
1.2 General Features of Life Risk Policies
Life risk policies are aimed at assisting clients to cover costs associated with adverse life events such as illness, disability and death. An overview of main types of life risk policies are considered in the subsections following. Each of these covers provided varies from insurer to insurer and there are different options with their own […]
1.1 Introduction FLTI
Long-term insurance companies offer a variety of life policies and variants thereof. A long-term insurance policy is a contract between the insurance company and an individual or individuals, where payment by the insurance company in return for premiums paid, depends in some way on the duration of the life/lives of the individual/individuals. Examples of long-term […]