Life insurances are mostly designed for life protection, some of the policies have cash value and some are not. Policies with cash value are like life insurance that provides saving, but normally the maturity takes time. Term life insurance has no cash value, it is designed solely for life protection, upon the maturity the buyer receives no refund, and all the premiums paid will not get back. Whole life insurance has cash value, but it has no maturity, it is a life-long investment.
Some people want to have protection and have saving at the mean time; endowment life insurance is the ideal policy, because the buyer benefits not only protection, the maturity of the policy is short, and he also benefits the interest and the full amount premium refund upon maturity.
An ideal saving plan
The premium of this policy is high but the amount payable is within short term, the policy holder can cash out the money in 10 to 20 years time. This policy provides coverage to the buyer for a specified term and the sum assured is payable to the policyholder along with the entire bonus accumulated upon the maturity of the policy. For those who want to buy life insurance for protection and also have big saving endowment life insurance is the ideal policy.
Different types of Endowment Life Insurance
Endowment plan is categorized as full endowment, modified endowment, low cost endowment and traded endowment; it is advisable to find out which product is suitable for you, the premium of these types of policy is high as compare to other types of life insurance.
Surrender of policy
In the event of surrendering the policy the buyer can cash in his money earlier, he will receive the surrender value, the payout is determined by the insurance company, and it depends on how much premium paid.
This policy covers the buyer death benefit and has an early maturity, therefore the premium is higher than whole life insurance and the bonus rates lower, and the buyer will receive his premium payments upon maturity. The maturity ranges from 10 years to 35 years, the shorter the period the higher the premium.
Endowment life insurance has various products, find out more by consulting the insurance agents or log on to endowment life insurance or indianapolis life insurance for everyone, or visit us at http://www.indianapolislifeinsurance.net.
For those who think buying life insurance is like paying premium without refund, it is better to put the money in the bank, they should consider this policy, because endowment life insurance provides protection and saving as well.