Unfortunately, due to the current pace of life, a person tends to forget about their health until it reminds of itself. Sometimes, however, diseases appear suddenly. And over the years, these risks only increase. Being sick has always been expensive. One can always rely on compulsory health insurance in the Russian Federation, but even in large cities in budgetary healthcare institutions it is not always possible to promptly make a doctor appointment, get medical assistance or undergo the necessary examinations. And in case of critical illnesses, for example, with oncology, every day counts, and not everyone can afford to spend several months waiting.
Insurance and savings: how they work
A long-term policy with an accumulation function is endowment life insurance (ULI). Such an agreement is usually concluded for at least 5-10 years. All this time, the policyowner contributes certain amounts in equal shares receiving a percentage on top, usually equal to the rate of inflation.
If the endowment life insurance policy involves not only savings but also healthcare, then in case of insurance event related to health, a person has the right to count on payment or reimbursement of medical costs. It is important to understand that at this moment a person does not lose the function of accumulation, his policy is still in effect. If the insured event does not occur, the endowment policyowner receives a guaranteed return, as well as the opportunity to take advantage of a tax deduction.
This is not an alternative to a deposit, since there is a certain procedure for making contributions, however, insurance coverage is provided for possible risks, for example, oncological issues. Besides, such savings are protected from penalties by a court decision, a tax deduction can be issued on them or they can be inherited without waiting for six months.
By acquiring such an insurance product, a person gets the opportunity not only to accumulate the desired amount by a certain date but also take care of his health protecting himself from unforeseen expenses. If something happens, the contract covers the medical treatment and financial risks. If none of this happened during the policy term, the insurance company transfers the accumulated amount to the owner at the end of it.
What are the insured events?
First of all, long-term insurance covers the risks of sudden death, non-survival before a certain date, detection of critical diseases and oncology, as well as the likelihood of disability.
What is such insurance good for?
There are many endowment programs on the market. There are options with healthcare included. Under such an agreement, a person has the opportunity to periodically undergo medical examinations, check-ups. The problems at their initial stage can be solved by getting a prompt treatment and ultimately saving lives; as a rule, it is oncology and cardiovascular diseases.
What are the peculiarities?
Financial discipline is important in a long-term life insurance contract with an accumulation function. The initial terms cannot be changed; the frequency and size of payments must be observed.
Early termination of such a policy is unfavorable, but the payout as a result of an insured event will be equal to the entire amount stipulated by the agreement, even if the client has made only one transfer.
Endowment life and health insurance helps avoid unplanned expenses, especially when it comes to protection, including from critical illnesses. This is a kind of family planning for the future. On the one hand, risk reduction is envisaged, on the other hand, accumulation is considered. Regardless of whether something happens or not, you will receive a certain amount. And everyone decides for himself how to spend it.
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