Why Life Insurance
Health Insurance, Insurance, Life Insurance, Life Stage Planning, Personal Finance

The Important Role of Life Insurance Plays in Your Life

Do you know about the significant role life insurance plays in your life? Yes, it does play a very significant role for your entire family.

Life insurance touches every close relationship in your life. Your financial worries whether it is for your children or your parents or even your own, life insurance has the solution to cater to all your worries.

“You don’t need to pray to God any more when there are storms in the sky, but you do have to be insured.” Bertolt Brecht

Here we go and explore how life insurance plays a significant role in your life, maybe without your knowledge.

Children:

You can protect your children’s education with Life insurance investments. You can secure your children’s future with a suitable policy which covers the death of an earning member.

Your life insurance can play a crucial role in your children’s life.

Handpicked related post: Why Should You Periodically Review Your Life Insurance?

Spouse:

This is significant. The initial objective of the life insurance companies was to support the spouse of an earning member in the event of the death of an earning member.

The earning member usually was a male member until a few years ago. The female spouse would get financial support in the form of a policy sum assured amount. This lump sum amount would come handy for her survival.

Even today, for a non-earning female spouse, life insurance is a major source of support post the death of her husband.

Handpicked related post: Everything You Need to know about Nomination of Your Life Insurance Policy

Parents:

Your dependent parents are your responsibility. To protect their reasonable lifestyle, having a policy which makes them the beneficiary is another social responsibility of an earning member.

This is more so when the young deaths due to the lifestyle diseases are on the rise. On the other hand, there is an increase in the average life span of people on the whole.

Life insurance policy favouring parents is an important need of the family.

Retirement:

Life insurance policy is a vital source of your retirement corpus. These policies are long-term in nature. The funds accumulated in the policies are available to you when you need the most i.e. when your earning stops post the retirement.

Life insurance annuity plans are best suited for investment as a Pension plan.

Whether it is a regular life insurance policy maturity benefit corpus or an investment in an annuity plan for regular monthly income, both are useful retirement tools.

Wealth:

Life insurance companies also offer plans which not only manage your risks but also build wealth for you.

ULIP kinds of products come with two in one benefits. It offers death benefits and also generates wealth for you.

Handpicked related post: Basics of Life insurance You Need to Know

Life insurance caters many aspects of your financial planning. Life insurance touches many aspects of your risk management. Life insurance touches many of your close relations.

“Life is 10% what happens to you and 90% how you react to it” Charles R. Swindoll

Be ready with your proactive response to deal with anything happens in your life.

You may also like to read: Financial Planning Model To Protect & Grow Your Wealth

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