In regard to Private insurance in Israel, the life insurance sum, the benefits and the premiums are linked to the Consumer Price Index. Savings are linked to the profit reflected by the insurance group. When buying life insurance, various tax benefits apply to the insured. Should the insured be a salaried worker, he is allowed tax deductions in accordance with his own life insurance policy, the premiums paid and a tax ceiling - as per the Income Tax Regulations applying from time to time. In Israel, life insurance includes war and terrorist attacks.
Israeli law allows the worker dismissal compensation up to one month's salary per year.
In Israel, we find various work agreements applying to the different sectors of the economy. Various work agreements also apply to this chapter in Israel. All the above mentioned allocations are not subject to income tax. If the worker is a shareholder of a business which is a limited company, it is also possible to offer him a special version of the Executive Insurance, including a Tax Clause suitable to shareholders. Savings include compensation amounts as well as pension funds.