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Difference Between Guaranteed & Non-Guaranteed Term Insurance

By Gregory Gambone
Of all the available types of life insurance, term insurance is the simplest to understand and typically the least expensive to purchase.

The concept is simple: You agree to pay the insurance company a specified premium for a predetermined number of years, and the insurance carrier agrees to pay your beneficiaries a specified amount of money if you die during that period.

However, many life insurance contracts have "non-guaranteed" provisions that can be a potential cause for concern.

Common Nullifications of Life Insurance Payouts

By Gregory Gambone
A life insurance policy is a legal contract between you and an insurance company. It clearly describes each party's obligations, as well as the consequences if either does not fulfill those obligations.

Your obligation is to regularly pay the policy's premium, and the insurance company’s obligation is to pay your beneficiary when you die.

However, the company can deny the payment of your death benefit under certain instances. Every life insurance contract describes a “contestability period” during which the insurance carrier may nullify or amend the amount of money paid to your family.

Tuesday, March 02, 2010

Monday, March 01, 2010