What are the advantages of hiring life insurance?

How does life insurance work in Portugal?

Before listing the advantages, it is important to remember what life insurance is and how it works in Portugal.

Life insurance is essentially a contract between an insured person and an insurer, having to pay a periodic premium that can be monthly, quarterly, or annually.  

The value of this award may vary depending on age, health status, profession, and contracted coverage. In addition, it can be fixed or adjusted over the years.  

It can be hired by own initiative or associated with a home loan, since banks require the hiring of it in order to apply for the loan.

In this insurance, you can access the following coverages:

• Death: This is a basic coverage that provides for the payment of a capital to the insurance beneficiary in case of the death of the insured (the beneficiaries who receive the capital are designated by the insured, which can be family members, friends or charitable institutions - in case of no designation, the capital goes to the insured's legal heirs);  

• Absolute and definitive disability (IAD): Disability resulting from an accident or illness that permanently prevents the insured from working entitles them to the agreed capital;  

• Total and Permanent Disability (TPD): This covers a less severe disability that still prevents the insured from working;  

• Severe illnesses: There are life insurance policies that also cover severe illnesses, such as cancer, stroke, or heart attack, anticipating the payment of the insured capital.

But what are the advantages of hiring life insurance?  

So, why is it important to hire life insurance? There are several advantages to having this support network, such as:

• Ensure Financial Security: A life insurance will provide financial support to dependents or family members in case of death or disability;  

• Access expense coverage: This insurance can help pay immediate expenses, such as a funeral, as well as maintain the stability of the family's life.

• Being a flexible insurance: Life insurance allows the insured to choose the insured capital, beneficiaries and add coverages according to their needs and preferences.

In other words, taking out life insurance is a reassurance and a precautionary support, according to personal and family needs and goals.

Want to ensure this support? Hire your life insurance with the help of Poupança no Minuto now: We find the right proposal for you, according to what you are looking for and your economic context, in a cost-free process that saves you from any bureaucracy.

Find your life insurance with us now: