Imagine you are the breadwinner in your family, and you meet with an accident. Unfortunately, you meet your demise, and the family that was largely dependent on you for the security of their financial interests is left unprotected. What do you do? At this point, your life insurance can rescue you.
Life insurance in India offers financial cover to the family after the demise of the policyholder. So, in case of your unfortunate demise, your family can still be protected financially. That is why it is important to choose the right life insurance policy in India on time. Let us learn more about it.
What Are The Types Of Life Insurance Policies In India?
1. Term Insurance Plan
These plans are purchased for a fixed period of time. The premiums for these types of plans are generally cheaper than the rest. This is because such policies do not contain any cash value. As such, they also contain no maturity benefits.
Opting for a term life insurance plan also means whole life cover, accidental death benefits, and coverage for terminal illnesses. So you can leverage it in need.
2. Endowment Policy
Endowment policy and term insurance are both very similar to one another. However, the sole difference between them is that the former comes with the added benefit of the policyholder receiving a large sum of money. This happens in the case of his survival till the maturity date of the plan.
3. ULIP
Unit Linked Insurance Plan offers policyholders to ensure the security of their life along with saving sufficient money. In this type of plan, the paid premium is categorized into two segments. One to build life security and the other to build wealth. In fact, policyholders can also withdraw a partial amount from it during times of emergencies.
What Are Some Other Types Of Life Insurance Policies In India?
- Money back policy
- Annuity or Pension Plan
- Whole Life Policy
What Are Certain Benefits Of Life Insurance In India?
- Provides risk coverage that comes via financial compensation after paying a set premium on a timely basis.
- Diverse plans for diverse purposes to ensure added benefits under a single premium.
- You can also receive comprehensive coverage for health-related expenses. Critical illness and hospitalization expenses are a part of this list.
- It also fosters the concept of saving sufficient money while simultaneously building life security.
- Guaranteed income even after an unforeseen event to ensure the financial safety of your family.
- Tax benefits are applicable under section 80C of the income tax Act, 1961.
- Loan facility that is available on select policies.
Opt For Your Best Life Insurance Policy Today!
- The more you research life insurance policies, the more you are likely to learn. We encourage that.
- Our team also fosters the idea of timely consultation with an insurance provider. This will help you understand which insurance policy can be the best pick for you as per your needs and affordability. After all, your life is in your hands.
