ENDOWMENT LIFE INSURANCE
In an Endowment Life Assurance, the policy has a maturity date when the sum assured is paid to the life assured or at the previous death of the life assured. This means that the sum assured is payable upon the death or survival of the life assured, whichever comes first. It is meant for a combination of both death and survival benefits, whichever comes first and is the combination of term assurance and pure endowment assurance.
In addition to life protection and investment purposes, endowment life assurance policies are useful in meeting special needs such as college expenses or purchase of retirement homes and pension provisions.
Endowment life assurance policies carry higher premiums than Term life or Whole Life Assurances.