In addition to allowing the policyholder to choose who they want to protect financially in the event of death, bringing financial security during a challenging and delicate time, life insurance also has other advantages:
Financial Planning The cost of insurance is fixed, meaning you know how much you will spend per month/year and can plan to fit it into your budget – a more rational alternative than risking being caught off guard and compromising your finances. And the prices are quite affordable; for example, there are options for less than R$10 per month.
Peace of Mind in Uncertain Times In adverse circumstances, besides the emotional toll, the financial side can also become destabilized. With insurance, it’s easier to deal with the situation, as there’s no extra worry about unplanned expenses and loss of income.
Tax Exemption One of the main benefits of life insurance is that the payouts are considered tax-exempt income. This means that if you or your family receive a payout, there won’t be any income tax levied, which could otherwise disrupt your financial planning.
Use While Alive Contrary to what many think, you can also benefit from services or coverages while alive. For instance, clients have unlimited access to telemedicine, allowing them to consult specialists in various medical fields at no cost, 24 hours a day. This ensures health care, savings, and convenience.
Customized Coverage You can customize the coverages that will make up your life insurance, from the most basic options to additional ones, with the flexibility to select what makes the most sense for your situation and fits your budget, without having to purchase services you consider unnecessary.
Serious Illnesses and Surgeries Among the additional coverages, users can choose to be compensated if diagnosed with a serious illness or if they undergo a surgical procedure (as long as it is covered by the contract). This is another example of how insurance can be used while alive.
Family Funeral Assistance Another coverage offered is funeral assistance services, not just for the policyholder but also extended to family members, such as a spouse and legal dependents (children and stepchildren up to 24 years old or those who are disabled), or reimbursement of funeral expenses.
Medical and Hospital Expenses in Accidents In the event of an accident, one of the benefits of life insurance is being able to use medical and hospital services wherever you prefer and then get reimbursed. Additionally, clients who are involved in an accident can receive compensation for hospital stay costs.
Dental Emergencies If the emergency is dental, those insured also have access to virtual consultations. If necessary, the dentist will refer the client for an in-person consultation, and if availability is lacking, a voucher will be provided to authorize the service in a private practice.
Convenience in Access and Payment You can purchase life insurance directly on your mobile phone, without any hassle and without leaving your home. Through the app, you can easily access the product, managing coverages and other benefits. Unlike most institutions, the compensation is paid immediately.
Difference Between Life Insurance and Personal Accident Insurance
What differentiates life insurance from personal accident insurance is mainly the coverage and the amount.
What is Life Insurance? Life insurance, among other benefits, typically covers the policyholder’s natural or accidental death. For example, the compensation can range from R$25,000 to R$150,000, plus R$5,000 for funeral expenses (with no waiting period for accidental death and a 180-day waiting period for natural death). In addition to telemedicine, which is already included, you can also add other coverages, as previously mentioned.
What is Personal Accident Insurance? Personal accident insurance, which also includes telemedicine, covers permanent disability due to an accident, accidental death, fractures, and severe burns. The client is also entitled to reimbursement for medical and hospital expenses, due to an accident, of up to R$1,000.
Since these are different types of insurance, it’s essential to be attentive and patient when choosing between them. Analyze the benefits of life insurance and personal accident insurance. More than just focusing on the monthly cost, to find the best value-for-money insurance, you need to check what is or isn’t included, considering the financial impacts an unforeseen event could have on your family and the goals you have for them in the future.
