Main Terms to understand Life Insurance

Life insurance is a contract between a person (the policyholder) and an insurance company that establishes a mutual commitment. The policyholder undertakes to pay a periodic premium to the insurer, while the latter undertakes to pay capital to the designated beneficiaries in the event of the policyholder's death. This financial instrument goes beyond mere economic protection, as it can have a positive impact on the environment.

Types of life insurance for every need:

  • Term life insurance: Ideal for those looking for coverage during a specific period, such as raising children or paying off a mortgage.

Advantages:

Cost: Premiums are generally lower than other types of life insurance. Flexibility: The policyholder can choose the length of the term that best suits their needs. Temporary coverage: Ideal to cover specific needs during a certain period.

Disadvantages:

It has no surrender value: If the owner does not die during the policy term, no benefit is received. Premiums increase with age: When renewing the policy at the end of the term, the premium will generally be higher due to the age of the policyholder. It is not an investment: This type of insurance is not designed to accumulate capital.

  • Tarjetas de crédito: Credit cards offer options among which stands out Amex insurance: Life Plan
  • Permanent insurance: Provides long-term peace of mind, with lifetime coverage.
  • Universal insurance: It offers flexibility by allowing you to choose the amount and duration of coverage, adapting to the policyholder's changing needs.
  • Specific life insurance: There are options to cover particular needs, such as life insurance for women, life insurance for athletes or life insurance for people with pre-existing illnesses.

Reasons why you should take out life insurance:

Protect your family: The main reason for purchasing life insurance is to protect the financial well-being of your family in the event of your death. The capital received by the beneficiaries will allow them to cover expenses such as:

  • Outstanding debts: Mortgage, loans, credit cards, etc.
  • Daily expenses: Housing, food, education, etc.
  • Children's future: University studies, medical expenses, etc.

Peace of mind: Knowing that your family will be financially protected in case of the worst will give you peace of mind and allow you to live in the present with greater security.

Financial planning: Life insurance can be a useful tool for family financial planning. It allows you:

  • Secure the future of your children: You can designate the insurance capital to cover university education expenses or the purchase of a home for your children.
  • Plan your retirement: You can use the insurance capital to supplement your retirement pension.
  • Cover unexpected expenses: You can use the insurance capital to cover extraordinary medical expenses or any other unforeseen needs.

Beyond financial protection:

  • Additional benefits: Some life insurance includes additional benefits, such as accidental disability coverage, medical assistance, or premium waiver in case of disability.
  • Financial planning: Life insurance can be a useful tool for family financial planning, allowing you to cover future expenses such as your children's university education or the policyholder's retirement.

A positive impact on the planet:

  • Discounts for ecological practices: Some insurance companies offer premium discounts to customers who take measures to reduce their carbon footprint, encouraging environmentally responsible behavior.
  • Sustainable investments: Various insurance companies invest their assets in ecological projects, such as the construction of wind farms or the reforestation of deforested areas, contributing to a more sustainable future.
  • Responsible choice: When choosing life insurance, it is important to consider the environmental practices of the insurance company, opting for those that are committed to a green future.

Responsible life insurance: Choosing life insurance that meets the needs of the policyholder and that also has a positive impact on the environment is a smart decision that benefits both the family and the planet.

In summary:

  • Life insurance offers financial protection to the family in the event of the death of the policyholder.
  • There are different types of life insurance to adapt to the needs of each person.
  • Life insurance can have a positive impact on the environment.
  • When choosing life insurance, it is important to consider the environmental practices of the insurance company.

Remember: Life insurance is an investment in the future of your family and the planet. Choose responsibly.