Life Insurance Benefits
Life Insurance Provides financial protection to your family after life.
Protection
This is the first and foremost benefit of life insurance. It provides financial protection to the family in case of death of the policyholder.
Investment
It offers an opportunity for investment through the Unit linked plans. There is a possibility of accumulating a huge sum at the end of the term of the policy.
Income Tax Benefits
The premium paid for the insurance policies are eligible for the income tax deductions under Section 10, 80C and 80 CCC of the Act.
Type of Life Insurance Policies
Among various insurance products, LIFE INSURANCE has been the most popular. It is an important part of financial planning. Life insurance provides financial protection to the family in case of the death of the breadwinner of the family. It enables the family to lead the same standard of life even after the demise of the head of the family.
Unit Linked Insurance Plan
In this plan the amount of premium is invested in the Equities and debt instruments. Here, return is not guaranteed and is market-driven but offers to build a good sum at the end of the plan.
Money Back Policy
In this policy the policyholder receives a certain percentage of sum assured at regular intervals say 5,10,15,20 years. In case of survival remaining amount along with bonus is paid on maturity. In case of death sum assured is paid.
Pension Plan
In this plan annuity is paid to the policyholder against the accumulated fund at the end of the term of the plan. Policyholders can also obtain the accumulated amount in a lump sum in place of the annuity.
Whole Life Policy
This policy provides coverage throughout the life of the policyholder. The premium is paid for certain number of years only say for 20 years.
Endowment Policy
In this policy the sum assured is paid in both the situations i.e. death or survival. The amount is paid either on maturity or death of the policyholder.