Various Types of Life Insurance Policies.

Choosing an appropriate insurance for your specific requirements can be confusing and complicated. There are various coverage options and restrictions that a person needs to understand before deciding on a particular life insurance policy. With so many variants and plans offered by insurance companies, deciding on a policy that best suits your needs is not always easy.

If you are in the search of life insurance policies, this article may help you find the right one for you.
Whole life insurance policy:- It is the type of life insurance policy in which the premium on this policy is payable throughout the lifetime of the policy holder. The sum assured becomes payable only after the death of insured.

Endowment life insurance policy: - This kind of policy is taken only for a specific period known as 'endowment period'. The sum benefit is payable either on the death of life insurance policy holder or on the expiry of a fixed period. If the person does not die upon the maturity of the policy, he shall get back the insured amount after the maturity of life policy. It is the most popular and widely preferred form of life insurance.

Annuity life insurance policy:- The amount in this policy is payable by the insurance company not in one lump-sum but by monthly, quarterly, half-yearly or in annual instalments paid either until death or for a specified number of years. Annuity life insurance policy is very useful to those persons who desire to provide a regular income for themselves and their dependents after the expiry of a specific period.

Joint life insurance policy: - In a joint policy, husband and wife or the partners of a business can have a joint life insurance. The insured amount is payable at the end of the endowment term or on the first death of any one of the lives assured, which ever is earlier. Such policies are usually beneficial for partnership firms.
Group life insurance policy:- A group life insurance policy is usually taken to insure and protect the lives of all employees in a business concern. The benefits of these insurances are payable to the dependents of the employees.
Sinking fund life insurance policy:- This life insurance policy is helpful in paying off a liability or for making a provision for the replacement of an asset after a period of time. This type of policy is mostly taken by business firms and companies.