According to the data collected in the “Estamos Seguros Report” prepared annually by UNESPA, insurance companies had to assume a total of 1,723 million euros in compensation for death in 2016. Specifically, there were almost 50,000 claims, with an average compensation of 34,427 €. Based on this data, we would like to highlight several key issues in life insurance.
When is a life insurance indemnity paid?
Life insurance, like any policy, responds to a loss covered by the policy. With regard to this type of insurance, there are several guarantees, but there are two fundamental ones:
- Death: this is the main one, which we see in 99% of the life insurance policies taken out
- Disability: we always talk about permanent issues in life policies, not temporary ones. We have already explained a short time ago the differences in the types of disability. Basically, there is absolute disability (it disables you for any type of profession) or total disability (it prevents you from exercising your profession, but not others). That said, there are insurances that can multiply your compensation by two or three, depending on whether it is due to an accident or traffic accident, respectively.
In addition, and no less important:
A life insurance policy is taken out after answering a questionnaire. It is necessary to be sincere in it, if we do not want to have problems in the future.
Reasons for taking out life insurance
There is no single generalized reason that applies to everyone. However, several are the most common:
- Guaranteeing my family’s future: the economic dependence of our children on our work and income is evident. In some cases, also that of our partner. A life insurance policy guarantees their financial security and allows us to sleep more soundly because we know that their backs are covered.
- Loan coverage: mainly in the case of mortgages. Banks, as a general rule, oblige us to have insurance to cover the capital pending amortization.
It is important to emphasize that financial institutions cannot force us to take out a life insurance policy with them, and the most convenient thing to do would be to study the savings in that insurance that subscribing it with a company can represent. Annually, a study is made that reflects the high difference in prices of life insurance with respect to banks.
What capital should I contract?
This is the million-dollar question, never better said. It depends on many variables, but it would be important to analyze the degree of economic dependence that our family may have if something were to happen to us. It would also be necessary to quantify the benefit that Social Security would give us in each case. For more details, we leave you this article on the calculation of life insurance.
If you want to enjoy these advantages, unlike banks, we will offer you the price of several insurance companies so that YOU can choose the one YOU want. Let no one choose for you.
Contact us and choose the best life insurance for you and your loved ones.
