There are THREE basic forms of LIFE ASSURANCE.

They are:-

Term Assurance
Endowment Assurance
Whole of Life Assurance

Term Assurance
Term Assurance is the least costly of the three basic types. Term Assurance Premiums do not contain any investment element. The premium merely covers the risk of death and the expenses of the life office.

In return for a series of regular premiums a Term Assurance policy will pay out a lump sum of money if death occurs during a chosen term of years. If the policyholder does not die during the term but lives to the end of the term the contract ceases and no money is due to the client nor is there any return of premiums.

Term Assurance is like car insurance - if you don’t have a claim your premium is “lost”.

The client simply pays to cover the risk of his/her dying within a certain term.