It is again a misconception about the insurance.
People say that the insurance company determines the value of one’s life.
It is not true.
The price of the life is invaluable and unimaginable. It is the insured person himself who determines the amount of money to be paid to his family as compensation to the financial losses in case of his death or accident. The insurance simply calculates the premium subject to the person’s capacity to pay over an agreed period.
Since the standard of living differs from person to person as well as the earning, one’s family may overcome the financial losses if it gets 5 lakh Rupees only but there is a possibility that another person needs 50 lakhs to re-settle his family if he dies.

In brief, the insurance claim money is not the price of one’s life but it is the help asked by the insured himself.