Why everyone should take life insurance?
Lets first discuss who should not take life insurance. If you are a person who does not have any family, if you are of no worth to the family, if you don’t care or love about your family or you don’t believe in charity, then there is surely no need to get a life insurance. But if you are slightly different from such a type of person, you need a life insurance cover. A Life insurance policy can be part of your investment too.
Life insurance as a care and love
Every person has one objective in his mind, to make his family happy. The love and care a person has for the family should exist throughout their life and that is why he opts for life insurance. After the demise there is no one to hold the family.
Death itself is such an uncertain event that no one can make provisions for it. Just because you can’t see it doesn’t meant it’s not coming. You spent your entire life to make your family prosperous so that if your life finishes they’re going to sell off what you accumulated to live? No! Thus getting insurance is best you can do so make your family survive your emptiness.
Life insurance as a saving
If you ask me most easy way to save money then a life insurance policy, I’d rather fail. Yes! All you need to do is to pay premium and Life Insurance Company will give you your sum assured as a sure shot amount at the maturity.
Compare it with interested paid by the bank, mutual funds, arranging a broker. No one can give you assurity of such a high return. Shares although give you huge potential return but not assurity as they depend upon the market conditions. Types of Life Insurance policies.
Life insurance as a charity
Have you ever thought about that how life insurance companies pay someone Rs.10,00,000 even when the person dies by paying a single premium of Rs.10,000. Insurance is sharing of risk. Those extra Rs.90,000 comes from each and every individual who has taken the policy. And just dare go to the family of the person who got the claim and you’ll realise that you’ve done something very noble.
Life insurance as a medium to save tax
Both the premium payment and the benefits are tax exempted. This is to encourage people to buy insurance policy by the government because insurance plays a very big role in uplifting the society.
Methods to select the right Life Insurance Plan for you
Life insurance as a piece of mind
If you are insured, you’re tension free! You’ll not complain and panic rather plan about using maturity benefits. You’ll know that your family will be taken care off if something happens to you. You are not wasting your entire salary as premiums are getting saved.
Thus life insurance policy increases your life expectancy by removing metal pressure and depression. As most of the untimely deaths are caused by carelessness and that itself is a mistake committed by an overly occupied mind.
The most popular reason life insurance customers give for not taking a life insurance cover is about the fraudulent practices of not giving the claim. It is very important to consider that Life Insurance Company sells promises.
A piece of paper and a promise is all one get in exchange of money. The intention can be doubted. But it is 100% correct that a life insurance company repudiate the claim if there are some contractual obligations. Thus, even if a single declaration in proposal form is incorrect, I’d say that you yourself are to be blamed for this fancy dream you were in regarding life insurance contract.
It is a regulatory requirement to give reason for each and every repudiated claim and to write each and every insurance condition on the policy document. If you won’t read them properly then you are the one dishonoring the contract.
Recommended Read :
- How to select a Life Insurance Policy?
- Life Insurance for Women
- Types of Life Insurance Policy
- Why Money Back Policy is Popular Among Life Insurances?
- Advantages of Money Back Life Insurance Policy
- Why Everyone Should Take Life Insurance?
- Life Insurance without Limit of Age?
- Life Insurance for Senior Citizen
- Endowment - Life Insurance and Savings
- Is Life Insurance a Part of Investment
- What is Term Insurance Policy?
- What is Accelearated Death Benefit Adb?
As soon as a child is born his or her insurance starts. Insurance plays a major role throughout the world. It provides safety for your belongings or your beloved ones in case of any misshapen. so I think we should have a life insurance coverage in our life.
I once began to worry about that how is those insurance companies of France, US, UK and others selling off their policies where social security, employee benefit scheme’s and lifestyle dosnt encourage citizens to. Well, just like we have motor third party insurance here, they have many mandatory covers, like house property Insurance is a must in France. So, if government of these developed nations are bulging so much for it, it must be worth to do.
India, however, faces issues like uneven distribution of income, poverty, unavailability of the insurance companies, and thus is not implementing on the population but according to me, all those who can afford to do this, everyone should opt for one full medical checkup and insurance products ( and their renewal too!)
I’ve always thought that insurance is a waste of time. A person can rather invest in a fixed deposit or term deposit and earn almost the same amount of money. Also, in the event that something happens to the principal depositor, there’s always an option to add a nominee. Still not sure about going for insurance.
Life insurance should be made mandatory by the Goverment. I totally agree with the author that if developed countries are making such an issue of it why cannot we follow too? Life insurance is a must and should not be thought to be some business proposal.