Life is filled with ifs and but’s. None of us knows what could even happen next minute. If your child, life partner, orparent(s) are dependent on your income, you will need a life insurance plan. Term insurance is the insurance product which is simplest and most fundamental. Term insurance policies are designed to ensure that the family gets the sum guaranteed (the value of the cover) in the event of the death of the policyholder. For a certain period of time (policy term / duration) the Term Plan offers risk protection. If the insured dies during the time period specified in the policy and the policy is active-or in force-then there will be a death benefit. Visit us on FBN insurance.
Lots of planning and risk-assessment are involved when it comes to selecting the best life insurance plan. Your financial planner or agent will want to know: your salary and other income sources along with liabilities such as loans to calculate the value of your human life. This is the key input to taking cover for life.
Whether you are willing to take risks What are your important life goals in terms of child education planning, marriage or your own retirement Your investment timetable viz. 10 Years/20 Years/30 Years On the basis of these inputs, the financial planner will select the best life insurance policy for you.The best insurance plan Having said that, insurers / insurance plans have some unique and innovative features that consumers will search for while finalizing their choices.
Some of these features include: Go for insurance plans that offer a wider range of plans / options for a ULIP or for life cover plans such as term plans and endowment plans in the case of a riders. A wider choice means you have a better choice to find the plan / option that best suits your risk profile and investment objective.
Life insurance should be convenient and trouble-free to buy. Go for an insurance plan that’s easier to buy -like over the internet, for example.
Insurance does not come free; costs and expenditures for life insurance, fund management, administration, service or delivery, and so on, are involved. Go for the lowest-cost insurance plans since that means lower premiums for the same cover. Lower expenses reflect in returns over time, in the case of ULIPs. On the same lines, some companies offer, for example, discounted premium rates for non-smokers on term plans.Go to insurance plans which offer more flexibility in choosing the term of the policy. So it is preferable to have an insurance plan with the minimum entry age and the maximum maturity age as this ensures you are covered for a longer period.