What does term insurance mean - PowerPoint PPT Presentation

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What does term insurance mean

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Term insurance is a pure life insurance product that provides financial protection in the event of the demise of the life insured during the policy term. Term plans are designed to financially secure the breadwinner’s loved ones should he or she pass away. Click to know more – PowerPoint PPT presentation

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Title: What does term insurance mean


1
What does term insurance mean?
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  • Term insurance is a type of life insurance policy
    that provides coverage for a certain period of
    time, or a specified "term" of years. If the
    insured dies during the time period specified in
    the policy and the policy is active, or in force,
    then a death benefit will be paid.

3
  • This implies that the death benefit will only be
    paid by the insurance company only if the insured
    person dies within the coverage period of that
    year. Return of premium option in Term insurance
    plans offer to return the total premiums paid by
    you during the term of the policy in the event
    you outlive the plan.

4
  • Term life insurance. ... If the life insured dies
    during the term, the death benefit will be paid
    to the beneficiary. Term insurance is typically
    the least expensive way to purchase a substantial
    death benefit on a coverage amount per premium
    dollar basis over a specific period of time

5
  • Term Insurance is the cheapest form of life
    insurance that provides full financial coverage
    for a defined period of time. ... In exchange for
    premium payments, the insurance company provides
    a lump-sum payment, known as a death benefit, to
    beneficiaries upon the insured's death.
  • Term life insurance pays a death benefit to your
    beneficiary if you die within the policy's term.
    Otherwise, it does not have any cash value. ...
    Once the policy has accumulated enough cash
    value, you can use it to pay premiums, or you can
    borrow against the value
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