Life insurance in simple terms, is a guaranteed amount of money that the family gets after the death of the insured person. The insurance amount is also given after a set period of time even if the insured person is alive in some policies. There are basic things that a life insurance will help cover in this unpredictable world.
- It will help reduce the burden of home loans (or any other loans) that your spouse might have to fight all alone
- Your children’s education and future
- It will provide a steady source of income to maintain the standard of living for your family even after your demise.
However, there are other benefits of life insurance policies.
- Use your life insurance policy as a good investment option such as for retirement or as child insurance plans.
- To build the habit of regular and systematic saving through premium.
- It can get you tax benefits as most life insurance policies offer tax deductions on premium payments.
- Life insurance is a financial asset that can help you to get a loan or health insurance.
