Life insurance

What is life insurance?


Life insurance is a contract by which the insurer undertakes to pay an annuity or a capital to a person, the underwriter, for a premium. This payment is made according to the type of contract taken out. In fact, in a life insurance contract, two types of contracts must be distinguished: an insurance contract in the event of death and an insurance contract in the event of life.


Life insurance


The risk guaranteed here is the ... life of the insured. The capital is paid to the insured at the end of the contract, if the contract is still alive. In this type of contract, the insured may be the beneficiary.


Insurance in the event of death


In the context of death insurance, the risk arises if the insured dies before the end of the contract, the capital (plus or minus capital gains) will be paid to the beneficiary designated by the subscriber. The designated beneficiary must be different from the subscriber.