Article Side

Online Article Directory!

Hello Guest! Login or Register to submit articles!

Understanding the Basic Facts of Single Premium Life Insurance Policy

By Floressewrt Subscribe to RSS | December 28th 2011 | Views:
loading
 
  



The present day life is full of risks, which are required to be dealt on regular basis. A person can face any kind of physical or mental health ailment, financial instability or any other kind of risk in the normal course of life. One of the best ways of hedging against these risks is by purchasing a suitable life insurance plan. There are a number of life insurance plans and policies which can surely help you in reducing the day to day risks of life and will provide the much needed assurance to your future. One such popular insurance plan is the single premium life cover policy. Further in this article, I have highlighted some points about this insurance policy. This information will help you in knowing every bit and bite about the policy and its benefits as well.

What is Single Premium Life Insurance?

The concept behind this life insurance policy can be understood better by breaking the whole term into small understandable parts. First of all, single premium means a single payment of a lump sum amount as against the payment of monthly installments. When you purchase a single premium life policy, it mainly provides you with a death benefit. A certain amount of money is paid to the persons listed in your list of beneficiaries in the event of your death. The amount of death benefit is perceptibly greater than the principal amount which is invested in the policy. This amount is sometimes even twice the amount of initial investment.

There are mainly two types of single premium life insurance policies namely single premium whole and the single premium variable life insurance. The single premium whole life cover policy provides a fixed rate of interest on your investment. While, on the other hand, the variable life cover policy offers returns which are completely dependent upon the securities in which the insurance companies invest. The rates of this policy are completely in the hands of the insurance companies and these rates are adjusted according to the age and the life expectancy.

Benefits Of Single Premium Life Insurance

One of the biggest advantages of purchasing these single-premium life assurance policies is the assured death benefit. This death benefit can be even twice more than the amount of money you invest in. Apart from the death benefit, your investment is tax free. Moreover, the amount received by the beneficiaries is also tax free in all regards. You can also draw a loan of about 90% of the amount of policy, by using the policy as a collateral security. Therefore, you can fulfill all your financial and other needs with the help of this single installment insurance policy.

So, this was all about single premium insurance policies. Hope this article has abolished all the doubts in your mind regarding the single installment insurance policy. It is one of the best products which can eliminate all the uncertainties and risks in your life. It will also provide a complete financial security in order to lead a better and self dependent life in the future.

Floressewrt - About Author:
By purchasing a suitable cheap life insurance policy, you can assure proper living of your partner and other dependents after your death. You can learn more about the various types of life insurance policies and know the right life insurance rates after speaking to our expert. You should not purchase an insurance policy without having a word with our expert.

Share on Facebook Tweet It Stumbleupon this post This post is delicious !

Article Source:
http://www.articleside.com/insurance-articles/understanding-the-basic-facts-of-single-premium-life-insurance-policy.htm

Related Insurance Articles Subscribe to RSS

What signifies Commercial general liability insurance?
Published by Andrew Edwards on January 4th 2012 | Insurance
It is the major concern to go with the plans to get desirable protection against the frequently face...
 
Complimentary commercial insurance quotes for traders
Published by Andrew Edwards on March 15th 2012 | Insurance
There are basic needs of every trade person which are fulfilled by protective plans...
 
Shopping for insurance coverage - ideas and guidance.
Published by Ramky on December 13th 2011 | Insurance
A great many people tend to be puzzled with the phrases used in a number of insurance policies - car...
 
Low cost medical insurance
Published by Lessardcasey on January 13th 2012 | Insurance
Low cost health insurance is something that in the United States comes with high risk and low return...
 
Significance of business interruption insurance for corporate houses
Published by Andrew Edwards on December 14th 2011 | Insurance
To reach the elevation of success we have to plan our business administration programs...
 
Things to consider when purchasing a wedding insurance plan
Published by Herry Smith on January 24th 2012 | Insurance
The wedding insurance plan covers things like attire, presents, rings and deposits on your different...
 
Georgia health insurance plan is excellent option for your health cover
Published by on June 23rd 2012 | Insurance
Only getting health insurance policy is not important, getting the right one is more important, beca...
 
What are the advantages of buying insurance online at my cheap car insurance
Published by Harrisonford on April 12th 2012 | Insurance
Cars have become the basic necessity of most of the people. Everyone wants to have his/her own trans...
 
Why you should acquaint yourself with auto insurance claim procedures
Published by Jerry on March 14th 2012 | Insurance
If you are straight out of driving school and own your first car, you may not know how to deal with ...
 
Look for car insurance in South Carolina
Published by Ronnie Brain on January 17th 2012 | Insurance
It is a legal requirement that you carry your auto insurance South Carolina all the time. Failure to...
 
Benefits of getting insurance policy specially when working abroad in search of earning and job
Published by Andy Robert on December 22nd 2011 | Insurance
Although the insurance policy might look expensive at first sight but the in-fact insurance policy i...
 
What do self-employed people need to know about health insurance?
Published by Andrew Low on February 10th 2012 | Insurance
If you live in the UK and take out health insurance, it is unlikely that you will be able to offset ...
 
Life insurance leads
Published by Sushil on July 23rd 2012 | Insurance
If you are in the Life insurance business, you always need to procure quality life insurance leads f...
 
Help yourself by knowing more about auto insurance!
Published by Jerry on March 14th 2012 | Insurance
There are many people who find auto insurance quite confusing and tricky. It is because of this reas...
 
Homeowner Loans: a shelter throughout your life
Published by Addy Roy on June 7th 2012 | Finance
Homeowner loans are easy to avail with larger loan amounts, longer repayment tenure and lesser rate ...
 
Fast tips and advices related to auto insurance
Published by Jerry on March 13th 2012 | Insurance
Insurance refers to a specific type of management that compensates the loss of a valuable asset. Th...
 
Tips to find cheap classic car insurance
Published by Anneshirley on March 20th 2012 | Insurance
Classic car insurance coverage is different from the regular type of insurance coverage. The definit...
 
Basic need of business insurance rates for comparison
Published by Andrew Edwards on January 11th 2012 | Insurance
If you are planning to buy insurance for business, then at first look at the different business insu...
 
Best Individual medical health insurance
Published by Lessardcasey on February 11th 2012 | Insurance
Individual medical health insurance can be a financial burden, but for many people it is a necessary...
 
Important considerations with regard to backpackers insurance
Published by Marry James on February 24th 2012 | Insurance
One of the greatest risks that a person can take is to go on an adventurous trip worldwide without g...