In the Commonwealth (especially the United Kingdom), they use the words "Life Assurance" vs "Life Insurance" when referring to what Americans call Life Insurance. The titles both mean the same thing, which is a contract whereby the life insurance company will pay a death benefit to the beneficiary upon the death of the insured person.
Insurance Adviser - Broker, SC Insurance Services, Oahu, Hawaii
In typical parlance life insurance and life assurance policies are the same thing. However there actually IS a difference in the legal definitions. The legal definition of Insurance describes what most people know as Term Insurance. That is a policy that insures the life of a person for a specified length of time or term. It has no cash value other than the death benefit and if you live past the end of the term the policy is ended and there is no cash value to the owner.
Life Assurance policies are described much the same as the way we in the business describe Whole Life Insurance. That is the policy remains in force with a death benefit as long as the insured lives. But it also accumulates Cash Value by virtue of the Insurance Company's investments of their General Fund. Therefore it not only has a "surrender value", but should the insured live beyond the "maturation date", usually 95, 100 or 120 years, then the accumulated cash value or the "face value", whichever is greater is returned to the owner.
Life Assurance policies may be governed by the securities administration depending on how they are set up and must be sold only by persons licensed in securities.
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Life Assurance policies are described much the same as the way we in the business describe Whole Life Insurance. That is the policy remains in force with a death benefit as long as the insured lives. But it also accumulates Cash Value by virtue of the Insurance Company's investments of their General Fund. Therefore it not only has a "surrender value", but should the insured live beyond the "maturation date", usually 95, 100 or 120 years, then the accumulated cash value or the "face value", whichever is greater is returned to the owner.
Life Assurance policies may be governed by the securities administration depending on how they are set up and must be sold only by persons licensed in securities.