Life insurance coverage is a subject that remains a bit of a grey area for many individuals. People today often graspthe needfor vehicle insurance, medical aids, house insurance and company insurance but when it comes to caringfor themselves by means of life insurance coverage, it’s generally postponed until tomorrow or the next day. andsometimes tomorrow might be too far gone!

In South Africa, many people have in the past been turned down a life insurance policy because of the fact that they are infected with the HIV virus. Thankfully, this is gradually changing and some insurance agencies are now offering a HIV life insurance policy specifically for individuals copingwith the HIV virus.

Whether or not you might be a healthy individual wanting to obtain a life insurance policy, or experiencing HIV and planning to acquire HIV life insurance, the basic principles related to life insurance coverage stay the same. Let’s look at a number of the terms and phrases that are often utilizedin life insurance policies. Perhaps a better understanding of the terminology and conditions will help to make people understand how important and easy to obtain life insurance really is.

Annuitant: A life insurance policy is calculated based on the expected life span of an individual. Forinstance, if a young person obtains a life insurance policy, chances are that this particular individual will be able to contribute to the policy for an extended period of time, while a more mature person might have a life expectancy of only twenty or thirty years. The annuitant is the individual whose lifetime (expected life span) is used to calculate the available pay period of the life insurance plan.

Beneficiary: The beneficiary is the individualwho will benefit through the policy. In other words, the beneficiary will be the person receiving the life insurance funds. This could be the policy holder in case of disability for example or the policy holder’s lovedones when the policy holder passes away.

Cash surrender value: It is possible that a life insurance plan can be ended for reasons that have nothing to do with the insured’s death. In cases like this the cash surrender value refers to the amount of money that will be paid to the policy owner upon termination of the policy.

Death benefit: The purpose of a life insurance policy is generally to provide for the policy holder’s lovedones incase the policy holder passes away. The death benefit refers to the amount that will be paid to the members of the family (or whoever the beneficiary might be) in the event that the insured dies.

Lapse: Once you stop paying your insurance premiums, your life insuranceplan can be ended. Policy owners areusually given a grace period in which they can still make payment, but if the client still fails to make payment the policy will lapse.

The above mentioned terms should make getting life insurance or HIV life insurance a bit less daunting! If you are still unclearabout the best life insurance coverage for your needs and requirements, call in the assistance of a reliable agent or broker!

For more information on hiv life insurance, go to http://www.alllife.co.za