Seniorsexchat

Life insurance is about providing protection to the dependents.

At the same time, it also provides peace of mind to the living person.

In many other cases, premiums do not come under the ambit of taxation laws.

In the US and the UK, by and large, premiums paid for life insurance are not tax deductible.

The other type of policy is bought from an investment perspective.

These can be called by different names like Universal, Permanent or Whole Life insurance.

However, if you go country-wise, the system would be simple to understand.

In Australia, premiums paid through superannuation fund are taxable.

Policy owner and the insured person Do keep in mind that the insured and the policy owner can be the same person or two different persons depending on the situation.One is for the sole purpose of protection so that the dependents of a person can be supported after the demise of the insured person.Such policies are known as term insurance policies.In simple words, the person who pays the premiums is the policy owner while the person who is covered by the policy is the insured person. Most of the life insurance policies do not cover deaths due to man-made events.These include riots, commotion, suicide and many other similar things.

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Governments around the world encourage people to go for insurance.

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