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Learn about life insurance in America

Life insurance in America is one of the most important types of
insurance, as it covers the heirs of the insured with insurance coverage, and
people’s insurance provides protection for people and those who support them
financially from various dangers that lead to a reduction or absence of a
person’s ability to work and produce.

Life insurance in America

Life insurance policies in America cover the accidents of reaching a
young age and also cover the accidents of short life, and also cover those
accidents that occur to people in their field of life such as marriage,
entering a university, reaching a specific age, the death of the wife, the
death of the husband, or other life accidents.

Life Insurance Policies Defined Value Policies

All life insurance policies are considered as fixed-value documents.
Therefore, the life insurance policy is not subject to the principle of
compensation, and therefore the insurer or group of insured pays the amount of
insurance “or sums” to the beneficiary specified in the contract when
presenting evidence of the realization of the insured risk.

The majority of life insurance policies are long-term

The term of life insurance policies may be long until it covers the life
of people, and as a result, the term of life insurance is indefinite.

Life insurance policies contain a savings component

The insured pays the cost of insurance in equal periodic premiums, and
these premiums are in return for an increased risk year after year, and therefore
these premiums are greater than they should be in the first years of the
contract and less than what should be in the last years of the contract, so the
excess parts are kept in the early years in the form of a provision called The
sports allowance is to be used as a return on investment to meet the deficit of
the last years of the decade.

The majority of life insurance policies have a liquidation value

Due to the long term of insurance in most life insurance policies, the
insured may not be obligated to continue the insurance, i.e. the insured may
stop paying the periodic premiums. This does not result in the expiration of
the insurance as is the case in most general insurance policies. Rather, we
find that life insurance policies in most cases It includes a savings element,
and in the event of stopping the payment of periodic installments, he is
entitled to liquidate the document and obtain a liquidation value.

Life insurance in America

Life insurance in which the insurance company pays the insurance amount
to the heirs, in the event of the death of the insured. This type of insurance
is also distinguished by the fact that it is not specified for a specific
period, as it is the life period of the insured.

Where the insurance owner pays premiums throughout his life, as the
insurance premium begins once contracting until the end of life. This type has
the advantage of being suitable, especially for people who have the ability to
pay insurance premiums in their advanced lives.

The sum insured is obtained only after the death of the insured.
Insurance companies have tended to make this type of insurance stop at a
certain age, let it be at the age of eighty or the age of ninety.