Page 4 - Life Assurance

It has been stated that most workers have
two type of estates:

- the present or actual estate
- the future or potential estate.
The present or actual estate is the property
that one has accumulated for dependents or
oneself for the time when earning capacity will
be cut off by premature death or reaching the
age of retirement. The future estate refers to the
property that one will normally accumulate to
provide financial security for dependents if one
lives long enough.
Life insurance is a way of creating an actual
estate for the benefit of dependents if the worker
doesn't live to realize the potential estate, and it
is a way of saving money for the actual estate to
be used as a source of income in old age.

Life21/life/life08

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