Losing a loved one is one of the toughest things in life for anyone to face. When that loved one is also the one who provides for everything financially and if he has not had the foresight to protect those left behind, then this loss leaves behind a very large burden on the family. The importance of life insurance as protection has always been understated
We all have dreams and aspirations, some for our own future – a good house, secure retirement and some for our children – a good education, a good marriage. But life also has its own plans and does throw some unexpected events at us. Life Insurance is the only tool available to an individual who loves his family to protect his loved ones from such events and ensure that the dreams and aspirations are achieved.
Life insurance helps you address all these situations. It is a replacement for your income. When your income ceases or falls insufficient either due to death, illness, retirement or a major goal such as children’s education or marriage, insurance fills in the gap. On your death, the monies received from term insurance policies will provide a corpus with which the family can pay off debts, convert dreams to reality and still lead a comfortable life. The systematic, long-term and induced saving concept of an endowment insurance policy will help achieve the target of your planned future goals.
First and foremost you need to identify your needs and those of your family. Secondly, you need to quantify them as of today and lastly prioritize them. You then need to see how you are going to fulfill these needs with your present income and accumulated and future savings. Where there is a gap, you look at life insurance.
Insurance is not just a product that provides security to your family and peace of mind to you; it is also a long term investment tool to save for goals.
For InvestmentYogi by Lovaii Navlakhi