Group Yearly Renewable Term life Insurance is a life policy which provides death-in service benefits to the employees in common employment or a group of people under appreciable similar exposure. It is designed to provide for the payment of a lump sum of money to the beneficiary(ies) of a deceased member of the scheme.
With a level term life insurance policy, the sum assured remains fixed. This means no matter when the insured pass away the beneficiary will always receive the same amount.
Under a decreasing term policy, the initial sum assured decreases periodically (every month, quarterly, half year or every year).
Under an increasing term policy, the initial amount of insurance increase every year at a rate determined in advance.
Mortgage redemption insurance (MRI) is a type of decreasing-term life insurance policy. Its purpose is to provide policyholders a way to have their mortgages paid off if they die before it is fully paid. This prevents the full burden of paying the mortgage from falling on the surviving family members' shoulders.
