Although life insurance penetration rates in India are meager compared to that of the rest of the world, the sector has been making significant headway in the recent past. In FY 19, the premium from new life insurance business increased YoY by 3.66%, as per recent reports. This increase can be attributed, in part, to increased flexibility models being adopted by life insurance providers. Insurers are now allowing offering a variety of plans that can be tailored to the needs of the policyholder. For instance, policyholders can choose from a large variety of term insurance plans available in the market. Term insurance plans can be customizable as per the needs and goals of the policyholder....
Continue reading...
About retirement, author Stella Rheingold said, "Congratulations on making it over all the hurdles and reaching that wonderful time of life where you get to do whatever you want." If only the retirement years were really that magical. Retirees today have their fair share of worries -- including the problem of managing unexpected healthcare expenses. Planning for healthcare costs can be daunting. According to a 2019 Genworth study, monthly costs for long-term care range from $4,385 for a home health aide up to $8,517 for a private room in a nursing home. Few people have the resources to budget for those kinds of expenses. So, what are the alternatives? Cross your fingers and hope you don't...
Continue reading...
Term Insurance Rates Term life insurance has long enjoyed a deserved reputation as the lowest-priced form of life insurance. That reputation has been enhanced over the last decade by a veritable price war among carriers. Term insurance rates have fallen to what appear to be rock-bottom levels – although experience shows that all such characterizations are subject to refutation. The revolution in technology has been instrumental in the decline of term insurance rates. The insurance business, once driven by personal relationships between buyer and insurance agent, is now governed by objective factors. Information about competing companies and policies, once difficult to acquire, now is...
Continue reading...
Terms plans are the most ignored yet most important life insurance policies. These are mostly unpopular since they only carry death benefit and will not generate returns over years of investment. However, term insurance should be on the portfolio of everyone, especially those who are the sole bread winners in the family. Want to know why? Then this article is for you! We will summarize the need for term insurance and will also give few online term plans. So, read on! What is term insurance and why should you opt for one? Term insurance is basically a type of life insurance which has a clause for death benefit only i.e. the nominee of the policy holder will get sum assured only if the death...
Continue reading...
A recent survey highlighted that 84% of Indians feel life is extremely uncertain. Among many reasons for uncertainty, ‘financial security of family in case something happens to self’ remained the topmost cause, followed by the uncertainty of ‘medical emergency impacting savings’. The survey highlighted that single-income families are increasingly worried about critical illness, owing to their dependence on single earning member. Have you ever thought about what concerns you the most? With increasing uncertainties that defy our security daily, the greatest gift to give one’s family is a lifetime of financial security. Insurance is one financial solution that can hedge financial uncertainties...
Continue reading...
Make your family financially healthy? Term insurance should be your priority Let’s hear the story of Raghav, who expired 6 months ago in a road accident. He was the only breadwinner for his family, (spouse and three children). His spouse is a homemaker and children are still studying in school. The unexpected death of Raghav impacted the finances of the family. What could Raghav have done to keep his family financially secure? Raghav could have availed a term life insurance policy. Term insurance is a type of life insurance plan in India. People buy term plan to offer financial protection to loved ones. If Raghav had availed a term insurance plan with a sum assured of Rs 1 Crore, his...
Continue reading...
What is Term Insurance? Term insurance can be defined as a type of insurance that is availed for a certain period of time or a fixed term (number of years). The basic differentiating feature of term insurance is that unlike other types of life insurance policies, a term insurance policy is less expensive since it does not have any cash value. The policy comes useful only if the policyholder dies within the timeframe during which the term insurance policy is in force. Term insurance policies are offered by almost all major insurance providers and these come for various terms like 10 years, 20 years, 30 years etc. The most significant point about term insurance policies is that most of these...
Continue reading...
It is typically difficult for you early in life to determine till when you will have accumulated enough savings to take care of all your needs for the rest of your life. This is the time when you will not need life insurance coverage. Since many of your large expenses such as your child’s higher education and marriage are likely to happen in your 40s and 50s, it makes sense to have your term life insurance coverage all the way upto your retirement at the age of 58 or 60. Of course, there are people who aspire to, and there are some who actually do, retire much earlier, say, in their 40s. The guiding principle remains the same. You keep the life cover as long as you don’t have enough savings...
Continue reading...
