Everyone knows what a life insurance policy is – it’s an insurance contract in which an insurance company promises to pay out a monetary benefit to policy beneficiaries after the insured passes away, as long as premium payments are paid consistently and no misrepresentations are made on the application. Based on that definition, you can tell that life insurance is a pretty straight-forward policy, but that doesn’t mean it can’t be used as a sophisticated financial planning instrument.
5 Things You Didn’t Know About Life Insurance