Finance Advisor Talk

When it comes to safeguarding your family’s financial future, understanding the different types of life insurance policies is essential. These plans are designed to serve specific needs—from basic protection to long-term wealth creation. Here’s a look at the types of life insurance options available in India and their core features. Term insurance Term insurance provides coverage for a fixed period at a low premium. If the policyholder passes away during the term, the nominee receives the sum assured. It does not offer any maturity value if the policyholder survives the term. Term insurance with return of premium This plan offers life cover during the term and returns all premiums paid if the policyholder survives. It suits those looking for basic protection along with a return benefit. Unit linked insurance plans (ULIPs) ULIPs provide dual benefits—insurance and market-linked investment. A portion of the premium goes into investment funds, and the rest ensures life cover. These are l...

Choosing the right life cover starts with understanding the different types of life insurance policies available in India. Each plan is designed to suit a specific financial goal—whether it's protecting your family, saving for the future, or planning retirement.  Knowing the features of different types of life insurance policies can help you make a better decision. Term insurance Term insurance offers high coverage at an affordable premium for a set duration—typically 10, 20, or 30 years. If the policyholder dies during the term, the nominee receives the sum assured. There are no maturity benefits unless you choose a return of premium option. Best for: Primary earners and young professionals seeking low-cost protection. Term insurance with return of premium In this variant, the entire premium is refunded if the insured survives the policy term. It provides financial security along with value recovery. Best for: Those who want protection plus return of premiums. Unit linked insur...

Choosing the right life insurance policy can be overwhelming, especially with so many options in the market. That’s where a life insurance calculator becomes an invaluable tool. It helps you estimate the ideal coverage based on your personal financial situation, offering clarity on how much life cover your family may need in your absence. Do I need to calculate life insurance needs? Absolutely. A life insurance calculator simplifies the process of figuring out the right sum assured for your unique situation. Since life is unpredictable, it’s essential to plan for both expected and unforeseen expenses—like education costs, mortgage payments, or medical emergencies. Estimating the correct coverage ensures your loved ones are financially secure even when you’re not around. How to use a life insurance calculator 1. Gather your financial details Collect key figures like your monthly income, existing loans, assets, and regular expenses. This will help generate an accurate estimate. 2. Choos...