What is the full form of FTD in Insurance?
The FTD full-form insurance is First to Die. This type of insurance offers financial protection for many individuals under one policy. FTD insurance reduces the financial hardship on the spouses, business partners, and family members of the first insured.
Significance of FTD insurance
First-to-die Life insurance is a policy that covers the lives of two people but only pays out if the first policyholder dies. It is one of two types of joint life insurance that cover two people with a single policy. The other type of joint life insurance is second-to-die life insurance, which only pays a death payment if both policyholders die.
Advantages of FTD insurance:
As this insurance policy covers both the insurer and their partner under one policy, the premiums are generally lower than purchasing two different policies. With only one policy to manage and one premium to pay, it becomes easy to keep track of the budget for insurance-related expenses. The policy is flexible and can be customized to meet one’s demands. The insured can cover many additional benefits called riders, depending on their requirement. Above all, joint insurance offers the confidence that both partners are financially protected.