A very simple concept - it pays an agreed lump sum
to your estate if you die. The types of life cover available
do vary. Term is probably the most common.
This makes a payment if you die with in the insured
term of insurance. If you don't die by the end of the
insurance it does not pay out Variations of this include
decreasing term which is designed for repayment mortgages
and is designed to pay out the remaining balance of
your mortgages. The further into the policy the less
you get. The opposite is true of an index linked term
insurance - this increased each year.
a value for money life policy