Term insurance

Iiflinsurance20 Sep, 2021Miscellaneous

Term insurance is the most basic type of life insurance, covering mortality risk and paying a lump sum death benefit to the insured's beneficiaries. Except in the case of a return of premium term policy, no payout is paid if the insured lives the policy duration. The policyholder receives an aggregate of all premiums paid in a premium return term policy. Term insurance is solely a financial security mechanism for the policyholder's dependents. It is the most useful tool for households with only one income earner.