Everyone wants safe and secure health and stability for themselves and their loved ones. Life is filled with uncertainties, which couldn’t be more accurate now. Anything might happen at any time, and this may worry you into thinking about your family’s financial stability when you can’t help them anymore. Having insurance at hand can ease these worries and anxieties and help you ensure that financial crises are taken care of, regardless of your presence.
This might seem overwhelming at first. For instance, guaranteed issue insurance companies have a minimum age of 45 to apply for one, and the benefits offered through indemnity policies can guarantee a hassle-free life. In this article, you will be cleared of what life policies have to offer, along with the eligibility criteria required to avail of such indemnity.
What Is Life Insurance?
It is essentially a contract between the insurer and the insured, the insurer being the indemnity company and the insured being you. As you already know, life can be taken away at any point, and this suddenness can create panic and havoc for the ones who depend on you financially. Insurance is essentially a scheme where you pay a fixed sum of money regularly until the duration of the policy has elapsed. This money will be transferred to the mentioned beneficiaries after you pass away.
Depending on the insurance company, you can avail of different plans having different premium amounts.
What Are The Eligibility Criteria For A Guaranteed Life Insurance?
As already mentioned, the objective of a life indemnity policy is to help your family in case of emergencies. It will ensure your family’s and loved ones’ financial safety in a crisis. The criteria differs from company to company, but the average data are mentioned below. Knowing if you meet the requirements is essential before validating your insurance policy. One must meet the following criteria to avail of the policy.
- Minimum age requirement:Guaranteed issue insurance companies have a minimum age of 45 to apply for an indemnity policy.
- Maximum age requirement: Insurance companies typically have a maximum age limit of 65-70 years.
- Maturity age: In many cases, the policies mature at 75 years.
- Citizenship: Most insurance companies make it compulsory for the insured to be citizens of the country where the company operates. Nowadays, however, you can see most foreigners availing of such policies, but the preference factor remains.
- Medical Checkup: It is obligatory, especially when availing of an indemnity policy. This is because they must ensure that death is purely accidental or natural, and the money given to your loved ones is informed. Insurance companies do so to understand the medical circumstances of the insurer thoroughly, and sometimes, this decision influences the premium you are supposed to pay.
- Smokers: One common misconception is that life insurance is not valid for people who smoke. They can avail of indemnification but are liable to pay a higher premium due to more significant risk factors. Smoking poses a high-risk to health and can cause cancer, making the burden on those companies higher.
Required Documents For Life Insurance
Policyholders are required to present all the necessary documents to avail of this policy. It is essential to confirm your identity, address, appearance, age, income, and employment. Online indemnification services may require them in PDF or other scanned formats. The following are the general documents that are needed:
- Address proof
- Photo identity card
- Passport photos
- Age proof
- Income proof (such as bank statements)
The eligibility criteria are pretty comprehensive, including 83% of the demographic. Anyone from couples to parents to senior citizens can benefit from such policies.
Conclusion
Everyone wants to see their loved ones and relatives healthy and content. Most of the time, individuals do not link joy and monetary stability. However, your family’s happiness is greatly influenced by your capacity to oversee your finances. When you’re their sole income source, you must ensure their financial stability. Having a fund set aside to cover unexpected costs is a lifesaver in times of economic uncertainty and disaster. A guaranteed plan can be one of the most essential and beneficial investments.
Article Submitted By Community Writer
