Life Insurance

General Insurance

Provides coverage for death or terminal illness

Provides coverage for a wide range of events such as property damage, liability, personal accident, and health

Purpose of life insurance is to provide financial protection for an individual's beneficiaries in the event of their death

Purpose of general insurance is to protect against financial losses due to a range of events.

Typically have a longer term, often lasting until the death of the policyholder

Usually have a shorter term, often renewing annually

Premiums are typically higher than general insurance premiums (Death is a more certain)

Premiums are typically lower than life insurance premiums

Claims process for life insurance is typically straightforward, involving payment of a lump sum in the event of the policyholder's death or terminal illness

Claims process for general insurance can be more complex, involving assessments of the extent of damage or loss

Some life insurance policies have an investment component, allowing policyholders to grow their savings while also providing death coverage

General insurance policies do not have an investment component