1. Life Insurance:
Life insurance is an insurance coverage that pays out a certain amount of money to the insured or their specified beneficiaries upon a certain event such as death of the individual who is insured.
The coverage period for life insurance is usually more than a year. So this requires periodic premium payments, either monthly, quarterly or annually.
The risks that are covered by life insurance are:
- Premature death
- Income during retirement
- Illness
The main products of life insurance include:
- Whole life Endowment Term
- Investment-linked Life annuity plan
- Medical and health
2. General Insurance:
General insurance is basically an insurance policy that protects us against losses and damages other than those covered by life insurance. For more comprehensive coverage, it is vital for us to know about the risks covered to ensure that our families are protected from unforeseen losses.
The coverage period for most general insurance policies and plans is usually one year, whereby premiums are normally paid on a one-time basis.
The risks that are covered by general insurance are:
- Property loss, for example, stolen car or burnt house
- Liability arising from damage caused by yourself to a third party
- Accidental death or injury
The main products of general insurance includes:
- Motor / Auto insurance
- Fire/ House owners / Householders insurance
- Personal accident insurance
- Medical and health insurance
- Travel insurance