What is human life value?
Life insurance contracts are one of benefit and not of indemnity. As such, the amount of insurance up to which a person can go, is limitless. Logically, however, it depends upon the person’s earnings, premium paying capacity, the needs of the dependents (should anything happen to the breadwinner) etc. Human Life Value (HLV), which was propounded by S.S.Huebner, the father of life insurance, is the limit up to which a person can go for life insurance and is arrived at by taking care of all the components enunciated above.
Life insurance contracts are one of benefit and not of indemnity. As such, the amount of insurance up to which a person can go, is limitless. Logically, however, it depends upon the person’s earnings, premium paying capacity, the needs of the dependents (should anything happen to the breadwinner) etc. Human Life Value (HLV), which was propounded by S.S.Huebner, the father of life insurance, is the limit up to which a person can go for life insurance and is arrived at by taking care of all the components enunciated above.
No comments:
Post a Comment