You can take out the insurance in three different modalities: savings life, risk life and mixed life. The main difference between the two initials is that while the first is activated when the insured dies, the second is activated when it reaches maturity. In the event that you want to have the advantages of both, you can choose to subscribe to mixed life insurance. When choosing between one and the other, there are different reasons that lead you to hire them voluntarily.

Life risk insurance

This type of life insurance policy offers you protection in the event of the death of the insured. Therefore, it is the family who receives the total insured capital. Within this category there are two modalities:

• Whole life: they are insurance policies that insure you until the moment of death and that is when the established amount is charged.
• Temporary life: they are responsible for covering the death of the holder during a specific period of time, for example, while you are paying a mortgage or a personal loan.

Life savings insurance

Also known as 'life insurance' and they work in a way that guarantees you the collection of the capital at the same time that the policy expires.

Mixed life insurance

It consists of a kind of mixture of the previous two. In this case, you will be the one who determines the expiration date of the policy at the time of contracting. Therefore, you can collect the capital at the time of the owner's death or at the time you have established.

After death

Protecting the family after death

Covering the death of the insured is the basic protection of life insurance, whose purpose is to protect their children and/or spouse and reduce the economic impact that occurs with the death of the policyholder. Life insurance is essential in cases where the family is financially dependent on the insured's income. In this way, if one day it is missing, the beneficiaries will receive compensation or an income, previously fixed, in order to compensate for the lack or reduction of income and cushion the economic impact.

Accident

Natural death is the case covered by all insurers, although there are some that also include death in a traffic accident. In addition, it is also possible to insure additional capital in case death occurs in any type of accident.

During life

Although the basic guarantee of these insurances is to cover the natural death of a person, it can be complemented with additional life insurance coverage. You can include others in your policy that protects you in the event of disability (absolute or permanent) or if you suffer a serious illness.

Disability

Disability coverage is one of the most common to complement your life insurance. On many occasions, the affected party is unable to continue developing their professional activity. And in these cases it is life insurance that makes things easier for you economically, granting you an income for the duration of the coverage.

Serious illness

Another possibility offered by life insurance is to cover you if you fall seriously ill. Thus, if you are diagnosed with cancer, kidney failure, myocardial infarction or coronary artery disease, among others, you can request a partial or full capital advance from your company.

The mortgage

More than half of people who own a home are paying a mortgage. On many occasions, banks offer their clients better loan conditions if they link it to life insurance or other financial products. Hiring life insurance linked to a mortgage is not mandatory, but it is one of the reasons why many have a policy of these characteristics. This is because if they die tomorrow and have not yet paid the last installment of the mortgage, they make sure that it is the insurance that responds to the payments and the family is free of this burden.

Guarantee the children's studies

Despite the fact that study insurance as such exists on the market, many life policies can include a clause in their conditions that guarantees the continuity of the studies of the insured's children in the event of their death. In this way, parents ensure that their children will not have to leave the center in which they are enrolled due to the inability to meet the payments.

5 benefits of life insurance

• Protect the family in case of death, natural or accidental, of the insured
• Be covered in case of temporary or permanent disability
• Have savings when the policy expires if you have chosen savings life insurance
• Ensure the payment of the mortgage in the event of the death of the insured
• Shield your children's studies if you choose coverage