The idea of taking up a life insurance policy is usually ignored even by the privileged section of society and The Benefits of Life Insurance Policy.
Suppose a mishap or sudden accident happens, and we realize there’s no guarantee with life, and what happens then?
It also leads to the end of the road for the people who are dependent on him. They face an ocean of liabilities such as child expenses, loans, EMI’s, and rents, among various others.
Therefore one must keep the worst-case scenario in mind and buy a whole life insurance cover for their family.
5 Benefits of Life Insurance Policy
But before buying any insurance policy, one important factor which needs to be addressed is to compare insurance quotes before blindly buying a life insurance policy.
Do you need Life Insurance? Well, if you have loved ones at home who are financially dependent on you, then the answer has to be “yes.” Here are a few advantages of having life insurance:
#1. Death Benefits
To secure your family’s future is your responsibility. If any untoward incident happens to the insured person, the insurance company pays the whole assured plus the bonus amount to his family.
The amount may not bring their loved one back in this world, but the family will be financially secure. Therefore, who can’t ignore life Insurance in any case?
#2. Investment Plans
Over the years, many life insurance schemes have fetched better returns than many other investment plans or even Bank FDs, for that matter.
Since there are numerous plans available, one must first compare the policy plans online and then buy an Insurance policy online to avoid confusion.
Many life insurance company guarantees a bonus amount that no other investment alternatives offer.
Besides covering the life risks, the money invested in a life insurance policy is safe too.
Who will return the money paid through premiums back to the insured with a handsome return on term completion or after the insured’s demise? In both cases, money is safely paid back.
#3. Loan Options
Who can present money invested in life insurance in case there’s an urgent requirement of money?
The loan amount is calculated depending upon the provisions mentioned in the policy.
#4. Life Stage planning
Life’s financial goals keep on chopping and changing with time, and a life insurance policy assists you in planning your financial goals wisely.
In addition to financial support in case of a sudden demise, it also acts as a long-term investment tool.
#5. Tax Benefits
Last but the most important reason for having life insurance is Tax Benefit. The government realizes the importance of having life insurance.
Therefore, under the 80C section of the income tax act, the premium paid for life insurance up to 1,00,00 is eligible for a rebate.
Since your answer to having life insurance is yes, and by now, you must have known that having life insurance also brings with it a purse of peace for the mind.
So what are you waiting for? If you don’t have a life cover yet, then get it now.
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