We are living in a world of uncertainties. Its a big question for every earning member of a family that in case of cetain uncertainities like death, what would happen to his near and dear ones.A must for everybody, life insurance provides covers the Assured against uncertainities of life.Insurance is basically a protection against a financial loss which can arise on the happening of an unexpected event.By entering into contract the Insurance company One agrees to pay the Policy holder or his family members a predetermined sum of money in case of any unfortunate event for a predetermined fixed sum payable which is in normal term called Insurance Premiums.
Life Insurance are the most sought after products of the insurance industry.Everybody infact every earning member of a family needs this cover to ensure that on the event of his/her death, the family doesn't suffer due to lack of financial flow.An Insurance company collects a small percentage from you and in return promises to pay your family a predetermined sum in case of an unfortunate event. Based on one's financial capability and need one can select a pure risk insurance like Term Insurance or Endowment Insurance , Whole Life Insurance, Money Back Policy or a Unit Linked Insurance Policy(ULIP) which are a mix of life insurance as well as Investment's.
The Basic Logic of Insurance is to :
- Provide Financial Security to your family.
- Protect your Assets such as Car, Equipments, House etc from Accidents or natural disasters.
- As a means of Investments and Savings
What are the benefits of taking Insurance ?
There can several benefits for taking Insurance, some of them are listed below.