Definition of insurance can be seen from the economic angle is a way / tool risk transfer from one person to another with the transfer of risk through insurance agencies, then in the future if there are losses suffered by a person due to the risk it faces, then the loss of the said can be diverted to others, ie to whom he has transferred the risk, so a complete definition of insurance is a contract between the insurer to the insured in the agreement where the insurer promised to replace any loss suffered by the party as a result of a risk that is mentioned in the agreement, where the risk is unknown or has not occurred at the time the agreement was held (not sure).
insurer provides reimbursement as mentioned above, he received a relatively small amount of money called a premium.
The purpose of Life Insurance
- Ensuring a estate from which the heirs can earn if
- head of the family died.
- To save money as part of one's life estate held for income in the future.
Principle Life Insurance
In principle life insurance is a form of cooperation between the people who want to avoid or at least reduce the risks caused by:
- The risk of death.
- The risk of old age.
- Risk of accidents.
Life Insurance Products
Life insurance products, there are basically three:
1. Term Life
This insurance is a type of life insurance where we pay a certain amount of money to insurance companies, and companies will protect us during a certain period of risk of death. In the event of risk during that time period we heirs will receive the sum assured. If that period is completed and
risk does not occur then the contract is completed and we will not get anything.
2. Endowment Life
This type of insurance is similar to term life insurance only a difference at the end of the insurance if there is no risk to us then we still get money
coverage.
3. Whole Life.
This Insurance only difference, the long lifetime. It means we protect forever (or until age 99 years)
