Terms of life insurance in America

Many people in America resort to insurance companies, to insure their lives, in anticipation of accidents or serious illness, as well as to secure the future of their children and heirs in the event of death or injury, although many do not know more about life insurance systems and the benefits they provide, and most notably companies operating in this sector.

 

Life insurance in America

Life insurance is an insurance contract concluded between an insurance policy holder and an insurance company, in which it is agreed that the insurance company will pay a certain amount of money in the event of the policy holder’s death to his heirs or beneficiaries chosen by the insured, and the policy holder is obligated in return for this to pay an amount of Money on monthly subscriptions or monthly installments or an amount of money in one go.

 

The contract specifies the validity period of the contract, and the contract usually agrees on the amount that the company pays to the heirs or beneficiaries in the event of the policy holder’s death. The policy may contain additional contracts or additional benefits that include disability, disability, serious illness, or be a plan to ensure university education for children or any goals or other programs.

 

Types of life insurance in America

 

Life insurance

This type of contract includes that the insurance company pays a certain amount of money to the heirs or beneficiaries registered in the contract in the event of the death of the policy holder during the validity period of the contract, (the policy interest is to insure the heirs for a specified period of time.

 

By obtaining the agreed amount in the event of the death of the insured, the “head of the family,” to secure the needs of the household and to continue living in comfort, stability and a decent life after the death of the breadwinner “head of the family”).

 

Life and savings insurance

Under this contract, the insurance company pays the contracted amount to the heirs or beneficiaries in the event of the policy holder’s death, or pays the policy holder another contracted amount if he reaches the age of 65, for example, which is part of his pension.

 

Due to the different types of insurance contracted, the monthly premium/contribution that the policy holder pays to the insurance company according to the first type is much less than the premium he pays if he concludes a contract of the second type that includes savings.

 

The monthly subscription/monthly installment may be increased by adding any of the additional protection contracts such as (accidents and amputations, serious diseases, total and permanent disability) that entail additional obligations and costs.