What are the different contracts or types inside life insurance?
There are different types of life insurance
The insurance of death
A capital may be paid if the contractor dies before the date specified in the contract (insurance death) and if he is still alive after that date, capital is not paid and the premiums are paid only if a “against-insurance was purchased. If no date of death is fixed (life insurance) capital will be paid upon the death of the insured.
The insurance annuity education follows the same principle as insurance temporary death, but the capital is transformed into a monthly annuity paid to children during their education or until a certain age.
The insurance for life
If the insured is still living on a date or deadline (eg retirement.) Receives a lump sum or an annuity. If the insured died on the date of expiry of the contract, the insurer may retain the premiums paid without having to pay capital. But it is sometimes provided an insurance against “providing for the refund of premiums to a beneficiary.
Insurance “mixed”
This contract combines the two types of insurance mentioned above. The capital may be paid or the death of the insured if death occurs before a specified date or after a deadline if the insured is still alive at that time, lump-sum or annuity.
What are the obligations of the insurer?
The insurance or capitalization must state on the insurance contract or the various entries for subscriber information:
* The terms of the waiver,
* The redemption value of the contract,
* The terms of the contract in clear and precise
* The full name, date of birth of the recipient (s)
* The date on which could be paid the capital or annuity guarantee.
Termination of contract
Life insurance could be terminated at any time. Simply stop paying and not take account of letters of formal notice sent by the company. No action may be taken for non-payment.
It is possible to “buy back” (recover a portion of the premiums paid) a contract in the early years in most cases, except for mixed contracts for which it was not until the end of the first two years. If cancellation is made less than 8 years after the signing of the contract, the capital gains are taxed and tax cuts obtained can be challenged by tax authorities.
