Life insurance is designed to alleviate the financial burden that may arise from the unexpected and premature death of a family’s breadwinner. It is a long-term agreement between the policyholder and the insurance company, where a sum of money is provided in exchange for regular premium payments. If the insured person passes away during the policy term, the insurance company disburses the Death Benefit to the designated beneficiary or nominee, and the policy ends. Alternatively, if the insured survives through the policy term, the insurance company pays the Maturity Benefit to the policyholder, and the policy concludes.
