Life is uncertain. Death is certain. There are family members dependent on you. Your death can make them vulnerable if they are not financially secure. You have still not achieved the level of savings required for a comfortable lifestyle after retirement.
In these circumstances, Life insurance is the only investment that can rescue your family from financial distress.
There is a famous quote that aptly conveys uncertain ways of life.
“Never say ’That won’t happen to me.” Life has a funny way to prove us wrong.”
Believe it or not, Life Insurance has become a part of our life. In India, 800 million people have Life Insurance which means 66% of the population. In the developed countries this figure is 90%.
- Life insurance is the only investment that gives you more money than your principal investment or your fund value.
- Life insurance is the only investment that makes you invest for longer tenure usually 15 to 30 years.
(This is how Warren Buffet got rich. He liked the financial structure of the insurance business. In insurance, business companies get advance premium. They can invest premiums to generate returns. In a non-life insurance business and in the term policy, if there is no claim during the tenure, the money belongs to the company.
In the case of endowment life insurance plans money remains with the company for a longer tenure. This money is invested to generate returns. The money of the others can be used smartly to generate a return for the shareholders as well as customers.)
- Loan against Life insurance policies is non-refundable. It can be adjusted against the maturity proceeds.
- It can help you select investment risk based on your risk appetite while still covering your life risk.
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- It is a great risk management tool.
- It can help you plan financial security for your spouse and the family.
- It can help you invest for your retirement.
- It can help you save for children’s education and wedding
- It can also help you build wealth.
- It can help you with lump sum money on the diagnosis of certain critical illnesses. The policy remains in force.
- The investment is tax-free, the maturity proceeds are also tax-free.
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Life Insurance touches every aspect of your life. And interestingly it becomes more valuable after the death of the insured.
From birth to death and beyond, life insurance is indispensable. The monetary protection it gives to the family makes it the priority investment option.
“We all die. The goal isn’t to live forever, the goal is to create something that will.” Chuck Palahniuk
When in the world everything is uncertain, Life insurance gives you the certainty of financial protection to the family. With your smart financial planning and adequate life insurance coverage, you can create a legacy that lives longer than you.
These are the reasons you cannot avoid Life Insurance in your life.
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