Important Points for Life Insurance
Purchasing life insurance is one of the most important financial decisions you’ll make. Not only does it protect your loved ones, but also a useful tool well before then. When it comes to buying life insurance to protect your family, you’ll have a lot of decisions to make. Everything from selecting the right amount of coverage to choosing a reputable insurance company to buy your policy can make the process overwhelming. The good part is that once you get started, you may discover that the process of buying life insurance really isn’t that complicated.
If you’re a first-time life insurance shopper, a good place to start is by getting a rough estimate of how much life insurance you should be purchasing to protect your family. For a quick & easy way to calculate needs, try listing your current household expenses and your liabilities, if any.
Few points we need to take into consideration to buy a proper life insurance cover:
When one gets married:
As we grow, our financial responsibility also increases. So, to plan our investment for a better future, the first step is to have adequate life insurance cover to make our dependant live a financially stress-free life in our absence.
When one become a parent:
As one becomes a parent the dependants increase in the family. We also tend to be worried about the future of our child’s education & child’s marriage. Increasing the life insurance at the same time can help the family achieve all the desired goals related to the child so planned by the individual in his/her presence.
When you take a big loan:
It is always better to protect your asset when you have opted for a big amount of loan, to save them from been taken by the creditors in our absence to recover the loan. We can also opt for Married Women’s Property Act so as the insurance amount that so needs to be given to the spouse as the nominee cannot be claimed by anyone else other than the spouse in the absence of the policyholder.
When one starts a business:
As we hold a business the financial risk increases in many ways like having higher debt for a business, outstanding expenses to be paid to our stakeholders, etc. to protect all this it is necessary to have an adequate sum assured.
Life Insurance is for your family’s financial security in case of unforeseen events. It is always better to have protection before planning your investments.
Comments
Post a Comment