Rich retiree, poor pensioners

creating capital and taking care of their future and the future of their families (those who are less than 40 years). Most people confuse life insurance with life insurance - this is a very grave error. Few will explain to you. Risk insurance is insurance protection (personal, property or car), and is that you pay a certain sum of money to the risk of the insurance company, thereby protecting themselves from certain troubles (car insurance, health insurance, property insurance, and others. ). And if there has been no insured event under the insurance contract, then the money will remain in the insurance company (the UK). Details about insurance in Ukraine you can read at this link - http://insuranceukraine.com.ua/

A life insurance policy - a tool accumulation (piling up money for you). Its meaning and the need is as follows: during work you put a comfortable amount (one that will not degrade your lifestyle) in cash, and it does not keep the money under the pillow, and use them to make a profit (investing for the long term ). Thus, you, together with the financial life insurance company consultant program calculates the amount of funds that you are willing to put off a year (10-20% of total revenue - do not need to). Putting money in an insurance company, according to the Law of Ukraine "On Insurance", they are very well distributed and invested in the different spheres of the national economy in order to reduce investment risks. This is called a conservative investment (long term - 10 years). Guaranteed annual income percentage (ie, they can not guarantee the banks), according to Ukrainian law, is 4 (difficult)%, plus an additional investment income (BIT) on profits of enterprises and areas where money works. The average rate of return is now common in the UK TAS is 18-19% (such income does not give any one company).

To make it more clear, let's look at an example and take the lump sum for ease of calculation.

You set aside each year on 5 000 hryvnia for 20 years. Thus, in 20 years you have accumulated their own money 20 x 5000 = 100 000 hryvnia. But as the money invested by compound interest, over 20 years, this amount will increase about three times, and eventually your account will be about 300 000 hryvnia.
Next, you have 3 options:

1. you take this money from the UK and use them on your own (real estate, starting a business, children's education, etc.).

2. You are leaving money on the insurance company and translate them on the rent (a percentage of the accumulated capital). The simplest rent - 10% per annum of the capital. Thus, the subsequent years (life), according to the example, you get 30 000 hryvnia per year (2 500 UAH per month). And you can transfer this capital inherited.

3. You leave the money in the UK, to prolong his contract before the retirement age (55, 60, 65) - the current program for youth up to 35 years. That is, after 20 years, you will never make any money and the money is starting to do work for them, and is increasing every year in the amount of annual interest, which further increase the final capital.

This is all that relates to the financial part. And since the savings program is a life insurance policy, then it is, and the protection of the insured life. I will not write sad things, so think of this information as an explanation.

During the work a person can withdraw from life, so at the conclusion of the life insurance contract is calculated the sum insured in case of death, which is equal to approximately the final capital accumulated by your means (for example - 100 000 hryvnia). The older a person is, the less the insurance amount, as a person is exposed to greater risks.

The insurance company TAS provides protection in three cases:

1) a natural death (due to illness) while beneficiaries who are insured indicated in the application, receive the sum insured in the amount of 100 000 hryvnia + %% (compound interest) over the years from the beginning of the contract;

2) death due to accident: vygotopriobretateli receive double the sum insured - 2 x 100 000 = 200 000 %%;

3) death in a road accident: vygotopriobretateli receive triple the insured amount - 3 x 100 000 = 300 + 000 hryvnia %%. What it does not matter whether the insured driver, passenger, pedestrian, or a train and an airplane, etc.

And also there is an option - the loss of working capacity as a result of a disability I-st ​​group. This IC is committed upon the occurrence of such an event to pay all future payments under the insurance policy at its own expense, as the insured no longer able to earn a living. And by the end of the insurance contract to pay the final sum to the insured person.
This is a brief description of the meaning of life insurance. With it, you care about your future and the future of your children, and thus have to protect your family from unforeseen consequences that will protect you !!!

In the future, I will share with you how to make a choice of the insurance company, and how the mechanism of life insurance.