What is the difference between a Level Term Policy and a Decreasing Term Policy?
Level Term Policy – The sum insured remains the same throughout the term of the Policy.
Decreasing Term Policy – This type of Policy is usually requested by clients who have a Bank Loan and wish to pledge the Policy to the Bank. In this instance the sum insured will decrease year by year until the term of the Loan.
Will I need to undergo a Medical Examination?
In most instances, yes. This depends on the sum insured, age and term required. Apart from a Medical Examination, blood & urine tests may also be required.
What is the difference between the Assured and the Beneficiary?
The Assured is the owner of the policy and is the person responsible for paying the premium and for determining who the beneficiaries are. The Assured is also the person whose life is being covered. The Beneficiary is the person or persons or institution that will benefit from the sum insured under the policy in the event the Assured’s death. This may be the partner, the children or a bank or any other institution as determined by the Assured.
How do you pay for a life policy?
You usually have the options of annual, half-yearly or quarterly payments. The more payments you effect in one year the higher the administrative charges levied.
What happens with the medical information given in my application?
All information is processed in strict confidence and in line with the guidelines set out by the Data Protection Act. There are heavy penalties for any insurers caught in breach of this Act so various security measures are put in place to protect any data held by insurers on your behalf. No such data is divulged to any other person or entity unless the insurer first obtains your written consent to this effect.
Can someone else take out a policy covering my life?
Subject to your written consent and a detailed explanation of the relationship between you and the person taking out the policy, another person may indeed take out a policy to cover your life. This is typical of husband and wife and parents and children relationships but may also apply in certain business relationships.