In today’s era, it is very important for everyone to do financial planning and be financially aware. If you do your financial planning from today itself, then you will not have much trouble in future. However, for financial planning, first of all it is necessary to take a life insurance policy. Most people shy away from taking life insurance, there is a confusion in the minds of people that life insurance is wrong and it should not be done. Experts advise you that whenever you are becoming financially dependent, then only you should take a life insurance policy. Let us know why it is necessary to get life insurance after all.
Why is life insurance necessary?
Broadly speaking, life insurance is taken so that if you get away from your family due to any reason, then your family continues to be taken care of without you. This is the main purpose of any life insurance. Protect you and your family members with life insurance. Life insurance ensures that your family members continue to receive financial assistance after you are gone. According to ICICI Prudential, know what are the benefits of life insurance?
1.No tax on the sum insured
If the policyholder dies during the course of the insurance, then his family members will get all the insurance money in a lump sum. Life insurance payouts are not treated as income, so the beneficiary is not required to disclose the same while filing the tax return.
2. Financial security to family members
After taking life insurance, the responsibility of your family also goes to the policy company. For example, your family is dependent on you and your salary, if you have life insurance then the family members will have financial security after your death. That is, they will continue to get money for their expenses. Your insurance policy will cover the education expenses of your children, so that they will not have to take an education loan.
3. The benefit of return on this investment also
There are also some life insurance policies, which also help you in wealth creation. Apart from this, many life insurance policies also offer bonuses. The money invested in life insurance is always safe and covers the risk. Life insurance also gives you returns, which are given after the death of the policyholder or the completion of the policy.
4. Loan Option
You can also take a loan against your policy, if you are feeling the need of money very much then you can take a loan in the name of your policy. There are also some terms and conditions for this, which you can find out from the company with your policy.
5. Assured Income Benefit
Life insurance provides assured income benefit to your family members or those who were dependent on your salary or you. Through this, family members can easily meet loan or other expenses, which include house rent, telephone and electricity bills and children’s education.
