What Is Life Insurance?

[Kunde]

Liffe insurance is a type of insurance purchased by people to help cover the cost of their death. Many people purchase life insurance as a hedge against financial uncertainty, death, and financial hardship. In addition, some people purchase life insurance as a way to help their families financially after they die. As with all types of insurance, there are pros and cons to purchasing life insurance.

Most companies offer life insurance to help with payment of funeral expenses in the event of a death. Typically, when someone dies, debts die with him, making the cost of funerals very expensive. Life insurance helps families cover these costs by paying out a predetermined amount when someone purchases life insurance. This relieves the family of the cost of a funeral while still covering the cost of ongoing expenses for the deceased person's family.

Life insurance can also help families cover the cost of education for the deceased's children. Typically, if someone dies debt free, their family doesn't have to pay for their children's education. However, if someone dies with debts, their family can be left paying for their children's college expenses. Life insurance helps cover these costs by paying out a predetermined amount when someone purchases life insurance for his or her children's education. This way, the family can focus on mourning without worrying about finances.

Life insurance is an essential tool in protecting your financial wellbeing in case of death or disability, especially if you have children or want to help subsidize your children's educational expenses.

 

[Learners Quest]

Life insurance is an insurance product that pays out a sum of money upon the death of the insured person. In simple terms, it pays out your life's earnings to your designated beneficiaries should you die unexpectedly. This type of insurance is necessary for people who have dependents or carry debt, and in most cases it's required by law to be maintained.

There are two types of life insurance: term coverage and permanent coverage. Term policy covers for a certain period of time, as determined by the policyholder, after which time it automatically expires like a car loan or mortgage — when this happens, you lose all benefits and must re-apply if you want to take advantage from such an idea again.

 

[Yugocean]

I am not sure which company do this, but if they cover such expenses, then it is good for person. Normally insurance companies (at least in my country) only pay a fixed amount (that is fixed by insurancer), to the sucessor on whose name insurance is made. Nothing else is done by Life insurance companies.

Can you name that insurance company which covers funeral expenses of any person?
Where that company does business?