Things to keep in mind while buying your first Life Insurance

23rd September 2014
319 views

Primary tips:

  1. When a person is young, cost of life insurance is low.
  2. While purchasing a life insurance plan, remember to cover your debts first.
  3. Also, financially protecting your family’s/dependents standard of living is important.

Tips for protection from financial worries:

  1. For a sole breadwinner, a pure term cover is ideally the starting point.
  2. Your Sum Assured should be based on your total liability and your family’s/dependents monthly expenses.

Tips for investment with protection:

  1. ULIPs are a very good option for people with good financial risk taking appetite and for those who need to create a CORPUS.
  2. ULIPs combine life insurance protection with investment and work best for investment horizons of 15 years or more.
  3. ULIPs provide optimal returns when held for longer period.
  4. The younger you start saving in a ULIP, the larger the corpus you can build.
  5. It is essential to make your mind for long term investment of at least 10 years, preferably 15 years or more, if you buy a ULIP.
  6. For those with low risk appetite, depending upon investment horizon, a With Profit (referred to as Par plans – plans where “Bonuses” accumulate over time) Endowment or Whole of Life plan will be ideal.

Want to know more? Use below tools to find the right life insurance and investment amount to protect future of your loved ones:

1

Previous

Tips to manage FY 2014 - 15
Next

Income Tax Benefit on Home Loan Interest under Section 80EE Of Income Tax Act, for the A.Y. 2014-15 & 2015-16
Share This Article

Leave A Reply

What Type Of Investment Plans Can Parents Buy To Fulfil Their Child’s Education Needs?

Parents want to provide the best of higher education for their children despite the costs of education going up in India.

Know More
Polls

 Bajaj Allianz Online Poll
Each one of us has Life Goals to Achieve! What is your Life Goal?
Loading ... Loading ...
Goal Based Investment Plan – Goal Assure
Goal Based Investment Plan – Goal Assure

Assuring maximized returns on maturity and providing opportunity to plan for your ‘once in a lifetime’ experience with zero worries

Know More
Category