Target Benefit Insurance: Ensuring Future Financial Goals Amid Uncertainties
Target benefit insurance is a specialized insurance contract designed to provide a predetermined benefit or target amount upon the occurrence of a specified event, such as death, disability, or retirement. Consider the example of a life insurance policy with a target death benefit of $500,000. This policy guarantees the beneficiary will receive the full amount, regardless of the policyholder’s age or health status at the time of death.