Car insurance: Death and disability insurance contracts

An automobile insurance is a compulsory contract that guarantees the driver of a vehicle against any material or bodily damage caused by his vehicle to third parties. To improve your coverage, it is recommended to take out a life insurance policy in the event of death.

Description of a death insurance policy

A death insurance is a coverage contract taken out with funeral agencies. This contract makes it possible to receive a lump sum or a pension payment to the beneficiaries registered in the funeral plan. Funeral insurance can be purchased collectively or individually. The document may contain additional benefits such as an increase in coverage in the event of accidental death or coverage against the risk of disability.

Death insurance can be purchased when you take out a loan. As with most guarantee contracts, death insurance comes in different forms. Subscribers can help their families by allowing them to build up a capital or annuity to overcome financial difficulties caused by the insured’s death. The beneficiary of the funeral contract must present a death certificate to receive the term life insurance or whole life insurance.

Life and death insurance

Funeral insurance contracts provide for the payment of an annuity or capital upon the death of the subscriber. The funds are granted to one or more beneficiaries designated by the insured. The subscriber is free to choose the beneficiaries. In this way, the guarantee can improve the financial situation of the partner or PACS partner who is not entitled to inheritance.

Life insurance policies are part of the estate of the disappeared person. This insurance is part of the calculation mass concerning the available portion and the reserve unless the sums paid by the insurance company are not disproportionate compared to the deceased’s assets.

What about the funeral insurance contract?

The death benefit protects the insured and his or her family in the event of death, disability or hospitalisation following an accident or illness by maintaining the family’s standard of living. As for funeral insurance, this type of guarantee makes it possible to build up capital to finance the costs of organising the funeral. The amount of a funeral is estimated at about 4000 €. The capital may be paid to a person or funeral agency designated by the insured.

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