Being a parent, a few thoughts that always bother us are:
Is our son’s future safe?
What if something happens to us?
What can we do to secure his future?
Well, the answer to it was quite simple. Life Insurance!
What is Life Insurance?
Life insurance is a form of insurance, where one is supposed to make regular payments named as premiums to the insurance company and in return, the company pays a sum of amount to the insurer after a period of time or to the beneficiary/ nominee, if the insurer dies.
Why one should buy life insurance?
1. Protect your love ones:
Purchasing a life insurance plan is one of the best financial decisions. This is the best way to securing the future of yourself and your loved ones. It’s about financial stability.
2. Make your loved ones financially strong:
You see, life insurance is a tool that helps you protect your spouse and children from the potentially devastating financial losses that can result if you die prematurely.
3. Achieve long-term goals:
Life insurance also helps you to achieve your long-term goals like buying a house or plan your retirement. You will get diverse investment options that come along with different types of policies and makes your dreams true.
4. Secure your retirement plans:
The life insurance plan also ensures that you have a regular income every month. If you put your money in an annuity, it’s like a pension plan. You are just supposed to put in some money regularly in a life insurance product and enjoy a steady income every month even after retirement.
5. Help you family deal with debt
Nobody wants their family to deal with financial liabilities during a crisis. Any outstanding mortgage, a home loan, auto loan, personal loan, or a loan on credit cards, all will be taken care of if you have bought the right life insurance policy.
6. Tax saving:
Life insurance is one of the best ways to save tax. The premium paid on an insurance policy is eligible for a maximum tax benefit of Rs 1.5 lakh under Section 80C of Income Tax Act.
When to buy life insurance:
Its never too late to buy life insurance. But buying life insurance is economical at a younger age. If you’re young, healthy and have a good family health history, your insurability is at its peak, and you can get the best rates on your life insurance policy.
How much coverage you should buy?
You should buy the coverage high enough to replace after-tax income; you would have earned. The proper amount of insurance will help your family to maintain the lifestyle. Your present and probable future incomes decide the amount you should purchase. You should buy one according to your needs and future plans.
Buying life insurance is one of the best investments you can make. Buy your life insurance today and secure your and the future of your loved ones.