Life is precious: for you and your loved ones. Being a breadwinner of the family, you will be responsible for the well-being of your spouse, parents, and children. But, have you realised what will happen to your loved ones, where you will not be around?
Apart from emotions, one needs to look after the family's financial security. Amidst the fast pace of life, especially in this pandemic era, every family needs financial protection to deal with medical, education, or day-to-day expenses. Hence, buying term insurance will help you look after your family's needs and desired goals in your absence.
Term insurance is a life insurance plan where the insurer (the insurance company) provides life coverage for a specific term against a fixed premium paid over a certain period. In addition, if the insured (policyholder) dies during the term period of the policy, a death benefit is paid to the family of the deceased insured.
Why Do You Need Term Insurance?
Death, disability, or diseases- The three deadly D's are common uncertainties that can come anytime, anywhere in one's life. Unfortunately, we cannot control these uncertainties. However, we need to prepare ourselves to face the worst mentally and financially.
Hence, we have summarised all the important reasons why term insurance is worth buying for future financial protection:
- - To attain peace of mind that your loved ones will get assured financial protection in your absence.
- - In case of uncertainties, your family can pay regular expenses or plan long-term goals with your term insurance money.
- - The Term Insurance provides financial security to your loved ones by providing a lump sum payout in your absence.
- - A term plan helps you take loans for cars or properties. Then, the bank or any financial institution won't trouble your family to repay loans.
- - Some term insurance also offers critical illness protection against diseases- like heart attack, cancer, brain tumour- to your family member for a lifetime.
- - One can avail of tax benefits on premiums paid under Section 80C of the Income Tax Act, 1961. Also, the lump sum amount received by the nominee is exempted from taxes subject to Section 10 (10D) of the Income Tax Act.
Final Thoughts
Term life insurance offers higher insurance coverage at the lowest premium rates as a protection plan. Fortunately, there are many term insurance plans in the Indian market. Depending on your budget and financial needs, we can help you select the best coverage plans at economical rates. To know more about term insurance plans, connect with us instantly.
