Endowment Insurance

<BODY> <h1>Endowment Insurance</h1> <p>Returns can not be guaranteed as they depend on how the stock market and your investor's portfolio are both performing.</p> <p>An endowment policy will run for a fixed number of years during which it accumulates a cash value.</p> <p>If you chose a unit linked endowment policy you will need to spend some time deciding where and at what level of risk you want to invest your funds.</p> <p><a target="_blank" href="http://www.viewsource.co.uk">View Source</a> | <a target="_blank" href="http://www.ebbs.co.uk">Ebbs</a></p> <p>If you take out a "with profits" policy the bank or building society invests your monthly premiums as they see fit.</p> <p>An endowment insurance policy can also provide a savings plan for a retirement fund.</p> <p>Over 6 million endowment mortgages may have been mis-sold because policyholders received inadequate and inaccurate explanations of the risks associated with endowment mortgages.</p> <p>Premiums are invested in a portfolio agreed on by you and your insurance service provider.</p> <p>Because endowment policies represent a method of saving you should expect to pay considerably higher monthly premiums than with a standard life insurance policy.</p> <p>If the markets have performed well you will be looking at a handsome payout.</p> <p>To reduce risk funds are "pooled" with other policy holders' capital.</p> <p>If the policy-holder dies sooner, the beneficiary named in the policy receives the proceeds.</p> <p>When the endowment policy matures your payout will reflect how well the investment has performed.</p> <p>Endowments provide financial cover so that an insured person who lives for the specified endowment period receives the face value of the insurance policy, that is, the amount paid at death.</p> <p>Any profits made are added to your final guaranteed payout or paid as regular bonuses.</p> <h2>Endowment insurance is a type of life insurance that is payable to the insured if he or she is still living on the policy's maturity date, or to a beneficiary otherwise.</h2> <p>Unit linked policies are more risky as there is no guaranteed payout except in the event of death.</p> <p>If you die before the policy expires the insurance provider pays out either the insured sum or the policy value depending on which is bigger.</p> <p>It is a type of life insurance that may produce profits.</p> <p>If you have been mis-sold you may be entitled to compensation</p> <p>This is a form of life insurance for a specified amount which is payable to the insured person at the expiration of a certain period of time or to a designated beneficiary immediately upon the death of the insured</p> <p>You could be left with nothing.</p> <p>Endowment policies used to be the most popular way of repaying a mortgage and at their peak at the end of the 1980s 85 per cent of homebuyers taking out a new mortgage opted to repay the interest only and invest regular sums in an endowment.</p> </BODY>