For many, this insurance is one of the least known but perhaps the one that we should all take out if we want to enjoy a full old age, without financial worries. Here we share 5 points to understand how retirement insurance works.
Retirement insurance is a fixed savings financial instrument offered by insurance companies. Its popularity is increasing because it has the advantage that you choose how much you want to receive at your retirement age, according to a fixed payment.
usually convenient to pay annually.
Because that way, you will have many years to save with less effort, and even hire a larger amount, because you can comfortably meet your payment.
Retirement insurance is contracted with the insurers that offer it; some have different processes that make the hiring time change, usually, from when you contact a company until you review various quotes and are sure how much to hire, it can take 15 days or more.
If you can no longer pay your insurance at any point in your contract, you will have two options to be able to recover as much of your money as possible or stop your payments and receive another amount at age 65. In any case, you can continue taking advantage of the insurance.
Option 1: Pay off your insurance (recommended)
Option 2: Withdraw the Redemption Value money
If you die, the beneficiaries you assigned at the beginning of your contract will receive the largest possible amount of your contract. That is why it is important that when you purchase insurance that includes beneficiaries, you inform them about the collection process, and have a copy of the important documents to be able to carry out the process if necessary.