financialtreat – will explain about the Best and Cheapest Life Insurance 2022 that you will get in the following article. let’s look at this article carefully!
The best life insurance provides an additional sum insured (Up) to the heir expert if the customer dies. Life insurance benefits are important to maintain the family’s financial stability after the customer’s death, especially if the customer is the backbone of the family.
The best life insurance offers a large sum insured tailored to the needs of affordable insurance coverage contributions. From the many insurance products on the market, Lifepal chose the 10 best life insurance policies in Indonesia. Check out the review below.
Best and Cheapest Life Insurance 2022
Definition of Life Insurance
The definition of life insurance is a product that provides additional sum insured costs if the customer dies. Therefore, in general, the backbone of the family is what is registered in this product.
The reason is that the family will lose their source of income if the breadwinner dies. The hope is that the sum insured can finance the life of the family left behind in time. Not only daily living expenses, the insurance sum insured can also be used to pay for children’s education costs and pay off installments. Therefore, choose insurance with a high sum insured or adjusted for purposes.
What is a Life Insurance Policy?
The definition of life insurance is a contract between the customer and the insurance company that contains the provisions in carrying it out. Policy documents can be handled by both parties in the event of a dispute in the future.
Example of Life Insurance Policy
Before purchasing life insurance, prospective customers will be given policy documents. To be more aware of the contents of the policy document, see the following example of a life insurance policy:
- Policy summary
- General and special provisions
- Copy of registration form
Life Insurance Law in Islam
Life insurance law in Islam based on the fatwa of the National Sharia Council of the Indonesian Ulema Council (Dsn Mui) 21/Dsn-Mui/X/2001 concerning general guidelines for Sharia Insurance is halal. Mui concluded that insurance, especially sharia insurance, is an effort to protect each other and help each other between a number of people in the form of common assets.
The purpose of sharia insurance is to provide additional protection to one of the insurance participants who experience financial risks. Sharia insurance is also carrie out in accordance with the sharia contract and principles.
Some views relate to the definition of sharia life insurance according to the MUI include:
- Have the principle of helping please.
- Contains an element of kindness because it sets aside some funds to be given away.
- Sharing risks and benefits between people.
- Part of the muamalah or interaction between people base on Islamic law.
In conclusion, if the insurance is carrie out in accordance with sharia principles, then the law of life insurance is an adjuste halal that is facilitate by mui scholars. So that the insure can choose sharia life insurance.
Life Insurance Law On Taxes
According to Law Number 42 of 2009, the definition of life insurance is classifie as Non-Taxable Services. The sum insure and cash value we get will not be taxe by the state. Moreover, if we get a cash value (Return of insurance coverage contributions) of 110 percent of the total insurance coverage contribution deposit, the additional 10 percent is still taxable. We still have to report the money in the tax return, but as part of the property we have.
Life Insurance Benefits
The benefit of life insurance is just in case the family loses income the implications of the departure of the breadwinner. Not only that, there are several other benefits of this product, including:
- Managing family finances
- Ensuring the survival of the family
- Ensuring children’s education
- Protecting the heir from financial burdens
- Gives an additional conducive taste
Risks can come at any time. Therefore, this product is expecte to provide an additional sense of conduciveness to risks in the future. So that you don’t make the wrong choice, before deciding to buy a life insurance policy, you should first compare it with hundreds of policy choices from other insurance companies.
Life Insurance Coverage Benefits
Life insurance benefits in terms of insurance coverage consist of death compensation and fixe stigma compensation. Here’s the explanation:
- Death benefit: compensation given if the insure dies, usually amounting to 100 percent (or more) of the sum insured.
- Overall fixed stigma compensation: compensation given if the insure experiences a permanent stigma as a whole, so that it cannot work. It is usually given 100 percent of the sum insure.
- Partial fixed stigma compensation: compensation given if the insure experiences a partial fixe stigma, namely the malfunctioning of part of the limbs. For example, paralysis of the legs or hands. Well, usually the sum insure given is proportional base on losses.
Types of Life Insurance
There are various types of life insurance that offer their own privileges and shortcomings. Therefore, we need to understand the difference so that we can find the most tailore product to our needs.
The types of life insurance in Indonesia consist of term life insurance, whole life insurance, unit link, and dual-purpose life insurance. To be aware of more inside, see the following explanation:
- Term Life Insurance
- Whole Life Insurance (Whole Life)
- Unit Link Life Insurance
- Dwiguna Life Insurance
How to Calculate Life Insurance coverage contribution
Life insurance coverage dues are an amount of money that must be paid by the policyholder to the insurance company to be able to transfer the risk to the company. If you have paid the insurance coverage contribution, then the customer can get life insurance protection. How to calculate life insurance coverage contributions varies by company.
The following are the factors that affect the amount of insurance coverage contributions
From these factors, it can be collecte if you want to get cheap insurance coverage contributions, you should register yourself in life insurance, not only that, calculate the amount of UP neede. Finally, consider what benefits are neede and what are not, then compare policy options online.
Life Insurance Simulation
We can get a simulation of life insurance by calculating the sum insure, which is a sum of money given to the heir expert in case of risk. The reason is, the amount of the sum insure greatly affects the amount of life insurance coverage contributions that must be paid by the customer.
Before buying life insurance, prospective customers are usually given the freedom to determine the desire amount of sum insure. To understand how much sum insure is need, Lifepal provides a sum insure calculator, free prospective customers can calculate the sum insure base on:
The way to calculate the sum insure by expenses is to sum the current expenses (For some time exclusively) multiplie by the value of inflation. For example, the customer wants the sum insure to be able to meet the needs of the family for 5 years.
This means that he needs to multiply the current expenses by 5×12 months. After that, adjust to the inflation rate. Use the following sum insure calculator if you want to calculate the insurance limit base on expenses.
The way to calculate the sum insure by income is to multiply the amount of the current family income (For some time exclusively), then multiplie by the increase in salary per year. For example, the customer wants the sum insure to be able to meet the needs of the family for 5 years. This means that he needs to multiply the current income by 5×12 months. After that, adjust to the salary increase per year.
Life Insurance Claim Process and Methods
A life insurance claim is a process in which a customer asks the insurance company for his rights after a risk of death. In life insurance, claims are done by heirs.
To file a life insurance claim, the customer first needs to report the claim to the insurance provider that the insure die, no later than 7 days from the time of the incident. Then the heir expert sends the necessary documents, such as a claim form, self-proof and a policy card.
After receiving the file, the insurance company will verify the correctness of the data and match it with the terms of the policy. If the documents have been adjuste to the provisions, the insurance company will disburse the sum insure to the heir’s account.
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Why is the Claim Submission Rejecte?
Not only that, but also listen to several things that can have an impact on insurance claims being rejecte as follows:
- The policy is inactive, because the insurance coverage contribution bill has not been pay.
- The claim is include in the dispensation list liste in the policy document.
- Claims fall under pre-existing conditions, i.e. pre-existing disease situations.
- Claims are not include in the policy coverage.
- The occurrence of a claim involves a criminal or unlawful act of the insure.
- Late filing a claim because there is a maximum time limit.
- Incomplete claim submission documents.
- Submit a claim within the waiting period, because in insurance there is an exclusive time span where the customer cannot submit a claim after the policy is issue.
Well, those are some explanations about the best life insurance with this insurance. Can help finances in treatment and thank you.