Page 3 - Life Assurance
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What is Life Assurance ?
As a social and economic device (system),
Life Assurance is a method by which a group of
people may cooperate to minimize the loss
resulting from the premature death of members
of the group.
The insuring organization collects
premiums from each member, invests the
premiums, guarantees both their safety and a
minimum interests return, and distributes
benefits to the beneficiaries of those members
who die.
Viewed from an individual standpoint, Life
Assurance is a method of creating an estate. It is
a method for accumulating property, regardless
of whether the bread-winner dies prematurely or
live to reach the age of retirement.
The word estate is often employed to
describe the property belonging to a deceased
person. The meaning of estate can be used to
mean “property” (including income-producing
property) for the benefit of the living, not the
dead.
Life21/life/life08
20
What is Life Assurance ?
As a social and economic device (system),
Life Assurance is a method by which a group of
people may cooperate to minimize the loss
resulting from the premature death of members
of the group.
The insuring organization collects
premiums from each member, invests the
premiums, guarantees both their safety and a
minimum interests return, and distributes
benefits to the beneficiaries of those members
who die.
Viewed from an individual standpoint, Life
Assurance is a method of creating an estate. It is
a method for accumulating property, regardless
of whether the bread-winner dies prematurely or
live to reach the age of retirement.
The word estate is often employed to
describe the property belonging to a deceased
person. The meaning of estate can be used to
mean “property” (including income-producing
property) for the benefit of the living, not the
dead.
Life21/life/life08
20
