Unit link insurance is a life insurance product that is linked to investment
Unit link insurance is a life insurance product that is linked to investment. This product provides two benefits at once, namely protection benefits and investment benefits.
The benefits of unit link insurance protection are the same as the benefits of life insurance protection in general, namely:
• Death benefit
• Permanent disability benefits
• Critical illness benefits
• Additional insurance benefits (rider)
The benefits of unit link insurance investment come from the results of investments made by the insurance company with funds paid by the policy holder. These investment funds are placed in various investment instruments, such as mutual funds, shares or bonds.
How unit link insurance works. Policy holders pay unit link insurance premiums periodically. This premium consists of two components, namely insurance premiums and investment premiums.
Insurance premiums are used to cover insurance costs, such as death costs, permanent disability costs, and critical illness costs.
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