Life insurance is one of the most popular investments in France, it is perceived as a safe investment and very tax-efficient. Thanks to this type of insurance, it is possible to carry out various projects, prepare for succession or ensure retirement. The operating principle of life insurance is as follows:
How does life insurance work?
Life insurance is a product managed by insurance companies with the aim of helping clients build up capital for their life projects. The customer for his part freely chooses the monthly payments to be paid.
It must be said that life insurance protects the subscriber as well as his family. The latter have the possibility of inheriting the sums saved by the beneficiary in the event of the latter’s death.
What are the costs of life insurance?
There are three types of life insurance costs. The first types are installment fees, which are fees that are less and less applicable, especially when it comes to online contracts.
The second types are arbitration fees, which allow shares to be transferred from one medium to another and mainly apply to multisport insurance contracts.
The third types are management fees, which are levied throughout the term of the life insurance policy.
How long is life insurance?
Legally, there is no duration for life insurance, it can vary from one insurer to another. If the insurance contract provides for a cut-off date then it will end as soon as the end date comes. Otherwise, the contract will remain valid until the death of the subscriber.
How to choose life insurance?
There are a number of criteria you should rely on to afford the best possible life insurance. These are as follows:
- Life insurance costs
- Funds in euros
- The interests
- The insurance allocation strategy
- Additional options
In addition to these criteria, you must take the time to take an interest in customer reviews. They will be able to encourage you in your choice. For example, you can go to “MAAF customer reviews”.
Is it taken into account in an estate?
Insurance houses have an obligation to transfer life insurance funds to relatives of a deceased customer. However, the beneficiaries must first make a request to the bank or mutual society.
Subsequently, the insurer must identify all the beneficiaries in order to transfer the funds collected to them. He will nevertheless require the necessary supporting documents before making the payments.
How to get life insurance?
To receive life insurance, beneficiaries must first contact the insurer. It is recommended to do this by mail. Once contact has been established with the insurance company, a certain number of supporting documents must be produced.
These relate to the death of the subscriber, the identity of the beneficiaries, the rights as purchaser and the tax receipts.