Life insurance is one of the most secure and safe ways to protect the dependants and family members against any kind of financial contingencies in case of an unfortunate event of the death of the policyholder. The insurance market is full of various types of life insurance products with all of them having some common attributes and features. Some of these common features are:
- All the insurance policy holders pay a certain amount of money at regular intervals to an insurance company which is called as premium.
- In the event of the death, the life insurance company is liable to pay an amount to the people named in the policy, commonly called as beneficiaries.
- The amount received by the beneficiary is generally free of income tax.
- The best insurance plans for the family are designed in a way they not only they cover the risk of unexpected events but also provides the guaranteed returns. For the best insurance plans in Texas, research and understand the market thoroughly before buying the final product.
There are a number of life insurance products that offers cash benefits while you’re living. These are in the form of guaranteed returns. In these types of products, a portion of the premium amount paid by the policyholder goes into a cash reserve and builds on a tax-deferred basis for the tenure of the policy. These are the best insurance products with guaranteed returns in 2017. The policyholder can access this money, called cash value after a period of time, depending on the terms & conditions of the policy.
These guaranteed returns help in a number of ways such as covering up of education costs, enhanced retirement cash flow or for any other reason. These are also the best insurance plans for college students as they help in the later stage of life for higher studies, marriage, or other such big life events.
Among the most common types of permanent life insurance plans are-
- Survivorship Life Insurance
- Whole life insurance
- Universal Life Insurance
- Return of Premium Life Insurance (ROP Term)
Taking the best insurance plan for the family is an intelligent, and at the same times, an essential financial decision for your family. Protecting the loved ones, especially those who are financially dependent on you, taking a life insurance policy is the best decision to live peacefully.