Life Insurance, Accidental, And Long And Short Term Disability Insurance

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Life insurance provides a guarantee of compensation in the case of loss of life in return for a payment of a premium paid to a company. Life insurance, in different forms, may be offered by many companies as part of a comprehensive benefits package. It is a significant benefit as it provides family members with financial assistance and peace of mind in the event of death. There are several different options for to choose from and deciding what options are best for each will depend on several factors and the advantages of each option and the goals of each. This paper will define the different insurance programs that may be available in organization 's compensation and benefits package precisely term life insurance, universal, whole life insurance, accidental death & dismemberment, and long and short-term disability insurance. It will further outline the advantages of each. No one can predict when their death is going to happen and for many this type of conversation may be one that is uncomfortable. However, when thinking about loved ones left behind it is important to think about the financial burdens that they may face in one’s absence. Therefore, life insurance should be thought of as income replacement that will be lost due to premature death. The factors an individual should consider are the expenses required to be maintained such as mortgage, college education, living expenses and surviving spouse retirement (Failla, 2014). In determining the options that may be
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