Life insurance is an important decision. It provides life protection for your family and may help you protect things valuable to you financially, such as a business or property. Although life insurance plans are not cheap, they can be beneficial in the long term. In this blog post, we will discuss the features and benefits of life insurance plans in India. Read on for more information!
What are the features of life insurance plans?
Before moving ahead to the benefits, it is essential to understand the basic benefits of this plan so that you know how it works for your best:
- Covers the life of the policyholder and his or her dependents
- Life insurance plans in India protect your family, depending on how many people you want to cover. You can also decide who will receive any money from life insurance when it is used.
- If a person covered by life insurance dies before they have reached retirement age, their life insurance can be used to provide life-long income or lump sum payments.
- Life insurance plans cover a person for death by accident, illness, and suicide. At the time of maturity, life insurance can be used to provide life-long income or lump sum payments.
What are the benefits of life insurance plans?
More than one benefits from acquiring a life insurance policy that will make you prefer it even more.
1) Investment option: Life insurance plans offer a long-term investment option with low risk and high returns. Life insurance plans offer a long-term investment option that has low risk and high returns.
2) Death benefits: If the insured dies before the maturity of the plan, the company will provide a lump sum amount equal to the sum assured. This is a great benefit that makes life insurance plans even more advantageous.
3) Maturity benefits: If the insured survives the maturity period, the total amount will be paid back. So your life insurance is nothing short of a savings instrument. Hence it is advised that people should invest in life insurance plans.
4) Tax benefits: You can not only insure your life but also get tax benefits as well. Under section 80C of the Income Tax Act, the premium of life insurance gets a maximum reduction of ₹1.5 lakhs. Under Section 10 D, all the payout made by the insurance company is non-taxable.
5) Riders: Riders are the additional coverage options that you get with your life insurance as options. Critical illnesses and accident disability are some of the important riders that you can avail yourself of. It is vital to pick a rider that best suits your requirements.
Conclusion
For life insurance in India, it is essential to find a life insurance company that offers life insurance plans with the coverage and benefits you need for your lifestyle. There are many different factors that go into choosing an insurer; however, do not just settle on one blindly. Most people prefer life insurers who can provide affordable premiums without any hidden fees or conditions.
