|



|
   |
|
There are 2 types of Life
Insurance Companies:
|
1. |
Stock Company - the money needed to form the company came from people who bought stocks in the company. The profit generated by the company is shared among these stockholders. |
| |
|
|
|
2. |
Mutual Company - the money needed to form a mutual company comes from insurance policies being sold in advance. A percentage of the profits generated by a mutual company can be shared among participating policyholders in the form of dividends, depending on various factors. |

|
1. |
Whole Life Insurance - provides coverage for the policyholder's entire life, provided the premiums are paid as specified in the insurance policy's contract.
- Includes traditional whole life, adjustable, joint, and variable. |
|
|
|
| |
2. |
Term Life Insurance - provides coverage on the policyholder for a specified period of time.
- Includes level, adjustable, renewable, increasing, decreasing, and convertible term insurance. |
|
|
|
|
3. |
Universal Life Insurance
- provides whole life coverage, but allows flexible premiums and face amounts by separating the factors which are used to determine them. |
|
|
|
|
4. |
Group Life Insurance - provides coverage on a group of individuals, usually employees of a business or members of an organization.
- In general, the employer or organization is the owner of the policy and the coverage is usually in the form of term life insurance. |
|
|
|
Consumer Guide
Home / Riders / Terms
/ More Terms
|