Life insurance is created as a desire to insure the future, and enables a kind of savings. 

The question is often asked whether it is better for an individual to save money himself/herself or to take out a life insurance policy. Saving is good and reaps benefits over time, but it requires a certain amount of time, resources and consistency.

By saving through an insurance policy, it is possible to accumulate capital that can be used for a more comfortable life in older years, i.e. to solve important life issues: children's education, getting married, buying real estate... Accumulated capital - money, can be used depending on the client's needs and wishes.

In the case of life insurance, the insurance company assumes the obligation to pay out or keep paying the agreed amount of money to the insurance beneficiary if the foreseen event occurs, provided that the client pays the agreed amount of money (insurance premium) to the company's account within certain deadlines. The sum insured is a predetermined amount that will be paid out in the event of the occurrence of the insured event (some event or death). The insurance premium is the amount that the Insured or the Policyholder is obliged to pay or keep paying on the basis of the insurance contract.

People buy life insurance because of the unpredictability of the future. The sudden death or illness of the income earner in the family can bring negative consequences for the family, and life insurance also solves some important life issues that will be relevant in the future.

In the event of the insured's death, life insurance provides financial stability to the family. If the client is interested in the financial security of his family and does not want to use a life insurance policy as a savings instrument, he can take it out for a case of death.

The most common reasons why people opt for a life insurance policy are protecting family income, leaving money to children or grandchildren, solving some important life issues, paying off a mortgage or some debt, investing in children's education, and the like. Depending on the reason, the amount of the insurance policy, that is, the optimal amount that would be sufficient for the insured for a certain case may vary.

Savings insurance and risk insurance are the two main categories of life insurance.

As the future is uncertain, it is not easy to decide for which period to take out the policy, but perhaps a longer period is a better option, bearing in mind that we never know what tomorrow will bring.

With life insurance, you save for a more secure future for yourself and your family, and you decide for yourself how to pay the premium according to your capabilities.

Contact the IFS team to choose the best insurance for you and your family.