Insurance Needs Approach

Whole life insurance policies generally have lower premiums than term life policies.

Endowment plans provide only insurance coverage without any savings component.

Term life insurance policies usually have fixed premiums throughout the policy term.

Unit-linked endowment plans invest premiums in a fixed deposit account.

Whole life insurance policies provide coverage only up to a certain age.

Traditional non-profit endowment plans provide a maturity bonus.

Endowment plans are a type of term life insurance policy.

An endowment plan's returns are based on the performance of the insurance company's investments.

The needs approach takes into account only five expenses, including funeral costs and legal fees.

Life insurance is a type of general insurance that covers the life of an insured.

General insurance policies and plans usually have a coverage period of five years.

Term life insurance covers you for the rest of your life.

Whole life insurance only covers you for a set timeframe.

You can choose to discontinue a whole life insurance plan after a certain period.

General insurance is commonly known as a life insurance product.

Life insurance only pays a lump sum known as a death benefit to your beneficiaries after your death if you suffer from total and permanent disability (TPD).

An insurance policy is a contract of indemnity where the insured is restored to a better position than before the loss.

A person who purchases life insurance has an insurable interest in the subject matter of the insurance.

General Insurance is a type of insurance that provides protection against financial loss due to death or disability.

The principle of subrogation allows the insured to seek recovery of the loss from a third party.

Takaful is a type of conventional insurance that is based on Islamic principles.

A family maintenance fund is a type of life insurance policy that provides financial support to the family in the event of the breadwinner's death.

The principle of proximate cause determines the likelihood of an event occurring.

The needs approach is a method of determining the amount of insurance coverage required by an individual based on their financial needs and goals.