Life insurance is actually purchased in order to anticipate the risk of unpaid living needs a person or a family because of interruption of income due to death of family breadwinner. Thus it is the nature of life insurance protection and not a savings. Saving it only as a supplement. So if anyone offers life insurance as well as saving money, is not appropriate. We just use shampoo samples.

Now many are selling shampoo 3 in 1 and in demand, because practically only 1 pack. But we only get a shampoo 1 / 2 part and conditioner even half of it? As a result of savings made through life insurance could be not optimal results because we do not all funds deposited or invested savings back, because there are parts that are paid to pay protection.

Therefore, life insurance as protection should have a simple concept and easy to understand is, the insurance company guarantees to pay a sum assured, if there is risk of death in the duration of your insurance contract lasts. If it does not happen on your risk of death during the ongoing insurance, no insurance money is paid.

Also choose a life insurance with the most flexible conditions, with low insurance premiums and amount of insurance money that can be tailored to your needs, which vary with time. Avoid buying a life insurance policy that you do not understand because the various calculations of numbers of illustrations and investment and other benefits hodgepodge that actually make you more confused.

Then what kind of life insurance should be selected? Finally, to meet the needs of protection with the cheapest premiums and other considerations based on the above, then the term life insurance is a type of life insurance that best meets the financial needs of the family against the risk of financial loss due to death. Make most of the people or families in general, where the allocation of income must be divided between the necessities of life today, savings and future investment and protection, then the amount of protection should be granted not too big. Therefore, term life insurance with the cheapest premium payments compared with other types of life insurance protection but with a maximum benefit could be the best option.

Some people ask, what about the insurance products that provide cash value? As unit-linked. Where you can choose the type of investment that according to what you want. Whether you should buy this type of insurance or insurance buy term and invest the rest?

When you compare these two things, buy term insurance and invest the rest will give better results if you knowingly continue to invest. If you fail or postpone investment because of certain things, the results obtained it is not impossible much less than the cash value provided by the unit-linked products.

If you include that it is difficult to set aside funds to invest regularly every month, unit-linked insurance products could be an alternative. This product provides the benefits of this type of investment that we can select and protection that was with him.

By purchasing this product, every year (if you pay the premium every year) you’ll be charged the same premium amount, in which some will be invested (the longer the greater portion of investment compared with protection) and some other protection, and other administrative costs.