The correct answer is D. Personal accident insurance.
Life insurance is a contract between an insurance policy holder and an insurer or assurer, where the insurer promises to pay a designated beneficiary a sum of money (the benefit) in exchange for a premium, upon the death of an insured person (often the policy holder). Depending on the contract, other events such as terminal illness or critical illness can also trigger payment. The policy holder typically pays a premium, either regularly or as one lump sum. Premiums are based on a number of factors, including the insured person’s age, health, and lifestyle.
There are many different types of life insurance policies available, each with its own set of features and benefits. Some of the most common types of life insurance policies include:
- Term life insurance: This type of policy provides coverage for a specific period of time, such as 10, 20, or 30 years. If the insured person dies during the term of the policy, the beneficiary will receive the death benefit. Term life insurance is typically the most affordable type of life insurance.
- Whole life insurance: This type of policy provides lifelong coverage and builds cash value over time. The cash value can be used for a variety of purposes, such as retirement savings, college tuition, or a down payment on a home. Whole life insurance is typically more expensive than term life insurance, but it offers more features and benefits.
- Universal life insurance: This type of policy is similar to whole life insurance, but it offers more flexibility in terms of premium payments and death benefit amounts. Universal life insurance can be a good option for people who want to have more control over their life insurance policy.
- Variable life insurance: This type of policy allows the policy holder to invest a portion of the premium in a variety of investment options. The investment performance of the policy will affect the amount of the death benefit. Variable life insurance can be a good option for people who want to have the potential for higher returns, but it is important to remember that there is also the potential for losses.
Personal accident insurance is a type of insurance that provides coverage for accidental injuries. This type of insurance can be used to cover medical expenses, lost income, and other costs associated with an accident. Personal accident insurance is typically less expensive than life insurance, but it offers less coverage.
In conclusion, the correct answer to the question “Which one of the following does not belong to the main products of life insurance?” is D. Personal accident insurance.