- #Life InsuranceLIC OFFERS MAJOR FACILITY FOR MATURITY CLAIM PAYMENTS TO POLICYHOLDERS
- #Life InsuranceWhat Happens If You Discontinue Your ULIP's Premium Payment?
- #Life InsuranceGive your Family the Gift of a Secure Future this New Year
- #Life InsuranceWhen Should You Opt For Loan Against Life Insurance?
- #Life InsuranceLIC launches two Aadhaar based policies
- #Life InsuranceSheena Bora Murder: Another Twist! Peter Mukerjea's life insurance money comes under scanner
- Sports Djokovic beats Fritz after Rome rain, Auger-Aliassime masters Schwartzman
- Movies Taarak Mehta Ka Ooltah Chashmah Fame Bhavya Gandhi's Father Passes Away Due To COVID-19
- Finance Moody's Joins Other Rating Agencies; Cuts FY22 GDP Forecast To 9.3 Per cent
- Automobiles KTM Postpones Pro Experience Rides; Says ‘Park Your KTM’
- Technology Honor Play5 To Support 66W Fast Charging; Other Features To Check Out
- Lifestyle COVID-19: Govt Issues '9 General Measures' To Boost COVID Immunity; Includes Dark Chocolate, Eggs, Oats Etc.
- Education Career As Petroleum Engineer: Check Courses And Job Opportunities
- Travel 10 Best Places To Visit In Uttar Pradesh In May
Life insurance industry domain in our country is vast and comes with a lot of coverage options. Many insurance providers offer varied plans with multiple benefits aimed at covering the different needs and requirements of prospective clients.
You may find that the term plan with return of premium is an ideal option. As compared to a standard term insurance plan, it is more beneficial as it provides maturity benefits as well. Since the ideal time to buy a term insurance plan is at an earlier stage in life, you can start preparing for it immediately.
In life, everyone passes through several stages, and each stage calls for different goals and plans. They include your first job, marriage, child and even retirement. Thus, it would help if you planned for them beforehand to help you achieve them. And similarly, the financial liabilities will not remain the same too and vary at different life stages.
But term insurance with return of premium will help in each of these stages. Read on to know-how:
When You Are Single
If you are starting with your career, you may not have many responsibilities. However, you may have to take care of your dependant parents. Especially if your parents are retired, they may depend on you financially. You should ensure that they do not have to compromise on their lifestyle. If they tend to get sick often, you will have to take care of their medical expenditure.
Apart from taking care of them, you will also have to plan your monthly expenses and save for your future. And with a term plan with return of premium benefit, you will be able to do so easily. While you manage your and your loved one's lifestyle expense now, you will get the premium back upon surviving the policy tenure.
When You Get Married
With a growing family, there is growing responsibility as well. When you get married, you may have to support your parents as well as your spouse. You will have to look after the financial needs of all your family members. Thus, it is vital that you create a financial backup plan to secure their future in your absence.
The best aspect about the term plan with return of premium is that you will receive the premium back even if nothing happens to you. So, you can fulfil your as well as your family's dreams. With this benefit, you can buy your car, take your spouse and children on a dream vacation or keep the money aside for future emergencies.
When You Have Children
When you decide to have children, you should also realise it means increased responsibility. You will have to take care of your child's education and marriage expenses. Considering the increasing cost of education, you should factor it in your financial planning. And if your child would want to study abroad, the education cost may be even higher.
Therefore, you should opt for term insurance with return of premium. With this term plan with return of premium, you get the premium amounts back if you survive the maturity benefit. You can use it as per your financial requirements in the future.
After learning how term plan with return of premium helps in every stage of life, it will be wise to know its benefits too:
1. Highly Affordable
While term plans with return of premium plans are generally slightly expensive compared to standard term plans, they prove beneficial for the long run. You will get the maturity benefit to take care of your future obligations.
2. Optional Riders
One benefit is that you can extend your term insurance coverage by purchasing optional riders. These can include critical illness rider, accidental death benefit and others.
3. Tax Benefits
Term plan with return of premium is also a type of life insurance plan, making it eligible for tax benefits. Income Tax Act, Section 80C affirms that the premiums of up to Rs 1.5 lakh paid towards the plan in a financial year are eligible for tax deductions.
If, however, you are still unsure about opting for a term plan with return of premium, you can choose term insurance comparison. You can research online, read about the standard policy as well as the term insurance with return of premium. And with the help of a premium calculator available on many insurance companies' websites, you can even evaluate the premium amount. It will help you in planning your financial portfolio.
Once you have read the pros and cons of opting for either of the plans, you can choose a reliable insurer like Max Life Insurance. You can read their offerings online and get any queries that you have answered by their team of experts.
Start your future planning now!