Family Protection- A resolution for lifetime

Written on Tuesday, January 2, 2018
By Mitali Sharma

Big_1_012722.jpg Facebook   Twitter   Google+   LinkedIn   Pinterest

What's your new year resolution? This is a common question to be heard as the year passes by. Resolutions are heard to keep and thus for most of us the new year resolution for 2018 is likely to be the attempt to accomplish the goals of 2017, which we probably had planed in 2016. The crux of the matter is, we tend to go very light on our resolutions and thus can remain comfortable even if we fail to accomplish them within the desired time frame.  


But there is one resolution, which is relevant 365 days, and no one can afford to go light or casual about it. That resolution is Family's protection against all odds and uncertainties. Protection is a umbrella term and encompasses various aspects, one of its important aspects is wealth protection that ensures financial security for the family. 


Wealth protection can be best sourced through insurance. If your wealth is not protected, then no matter how much wealth you create, there will always be a loophole through which your wealth will sink down in face of unexpected life emergencies. Let's us not talk about the need for insurance because we all know about it well, rather check out how you should be utilizing insurance to ensure  yourself and your family's financial security.


Chose Life Insurance as per Your Needs


Different types of life insurance - its features and relevance 


1. Endowment Policy

a. Covers life risk amounting to sum assured till the specified maturity period
b. It includes the savings quotient that gets paid along with maturity benefit  
c. Maturity benefits on survival of policy tenure 
2. Term Insurance 
a. Covers life risk amounting to the sum assured only for a set period
b. Pure life insurance that aims at covering income loss (no survival benefits)
c. High life-risk coverage in comparatively low premiums. Another variant is TROP with return of premiums facility
3. Money or Cash Plans 
a. A portion of sum assured is returned on a periodical basis
b. Outstanding sum assured offer as a maturity benefit
c. Life risk an for the entire sum assured, even if survival benefits have already been paid
4. Whole Life Insurance 
a. Unlike a term insurance, it offers lifelong protection
b. Offers death benefits as well as survival benefits
c. Ideal to create an inheritance for children/family
5. Children’s Policies 
a. Specifically designed for the benefit of the child even in face of parent's death
b. Helps parents in creating a corpus of child's higher education/marriage/future
c. Best when taken with 'Weaver of premium' benefits 
6. Annuity Plans
a. A type of pension plan to safeguard the retirement against income loss
b. Offers the benefit of regular income post retirement ensuring financial independence
Quick Insurance Tips for 2018
a. As the family increases, one must check the adequacy of their insurance coverage and increase it if required 
b. Premium increases as you grow old, so when you are young, purchase your life insurance and medical insurance
c. When the need is life-risk cover, term insurance is easy to avail because in low premium it offers adequate coverage 
d. Ideally, your insurance should be a minimum 20 times of your annual income 
e. To save money on your medical insurance premiums, instead of going for a plan with huge sum-assured, one should take a base plan of average sum-assured and then add top-up plans on it as per the needs.  
f. Would-be parents should go for medical insurance with maternity benefits that offers child cover from day one
g. Professionals like doctors, lawyers, CAs etc, whose job roles involve the risk of indemnity, must ensure security with indemnity insurance plans
h. There are special plans for diabetes and hypertension patients offering day one cover*
* Terms and conditions apply

Get More Info Now!


 Popular Tags

(1) Child Education(2) Child Future Planing(1) Children Future Planing(2) Equity(1) Financial Goal(1) Financial Planing(2) health Insurance(2) Insurance(1) Investment Options(2) Investments(1) Life Insurance (4) MIP(1) Mutual Fund(1) Mutual Funds(5) National Pension System(1) NPS(5) Personal Finance(2) Retirement(1) Retirement Planing(2) SIP(5) Systematic Investment Plan(2) tax calculator(2) Term Insurance(1)Awards(2)Balanced Mutual Funds(4)Bond(2)Bonds(15)Budget 2016-17(4)Budget 2018(2)Child Education(1)Child Insurance(8)Children Education(4)Children Future Planing(3)Children Future Solution(2)Children Future Solutions(2)Claims(7)Corporate NPS(1)Credit Card(2)Debt(6)Debt Funds(2)Early Investing(22)ELSS(4)EPF(2)Equity(9)Financial Assessment(7)Financial Goal(19)Financial Goel(1)Financial Planing(2)Financial Planning(42)Fixed Deposits(3)Fixed Income Funds(1)Fixed Tenure Fund(1)General Insurance(6)GOI Taxable Bonds(2)Gold(1)GST(1)Health Insurance(28)Home Insurance(2)Income Tax(2)Indian Economy(1)insurance(41)Insurance Grievances(5)Interview(2)Investment(5)Investments(82)ITR(7)Life Insurance(21)Life style(20)Mutual Fund(71)Mutual Funds(30)National Pension System(4)NFOs(1)NPS(6)Overseas Insurance(1)Pension Plan(12)Personal Finance(9)PPF(2)Quiz(1)Retirement(28)Retirement Goal(7)Retirement Goel(1)Retirement Planning(5)Save Tax(6)shikha(1)SIP(14)Sovereign Gold Bond Scheme(3)Start Smart(2)SWP(3)Systematic Investment Plan(3)tax free bonds(1)Tax Planning(37)Tax Saving(44)Term Insurance(2)test(1)Travel(1)Travel Insurance(5)ULIP(5)ULIPs(2)Wealth Creation(93)