We live in an interesting time – interesting, but fleeting! At times like these, when there are no guarantees for life, life insurance is the only insurance that should protect you and your loved ones from the unknown and unexpected. Insurance is, in fact, a contract between the insurer and the insurer. The insured pays the insurer a certain amount as a premium at certain intervals, but instead the insurer pays a certain insurance amount in the event of death or on the day the policy expires.
In the past, people have chosen fairly ordinary insurance policies, which usually consist of fixed-term policies or donation policies. The insurance amount in these insurance plans is guaranteed and determined in advance. These plans usually provide life insurance, the health of the insured person, and sometimes as part of a lifetime pension plan. Although these old plans provide a safety net, they are out of date because of the rising cost of living. They do not offer high returns, and premiums have quite a long term.
Ten years ago, the younger generation was not as aware of the need for insurance as today’s youth. Today we are not only interested in insurance, we have also learned that investment and insurance can be carried out simultaneously and with the same amount of money.
There has been a paradigm shift in the life insurance industry. Today, insurance is not only a form of protection against untimely and unfavorable life events, but also an active form of investing in the stock market. The whole concept has changed, and more and more private sector companies are entering the arena. Gone are the days when people turned to state-owned companies and played cautiously. Risk appetite has generally increased, with unit-linked insurance plans, or ULIP, leading the way. These ULIPs invest the money of insurers in the market and not only promise life protection, but also provide a significant increase in your savings.
As the awareness of ordinary people increases, modern regimes have transferred control to the insurer. Almost all of these plans can be customized to suit the needs of the insurer. They have a lot of flexibility in terms of premium, duration and drivers. They are accompanied by numerous non-binding confirmations, such as accidental death, serious illness and refusal of insurance premiums. Liquidity, policy collateral loans and tax breaks have made them more attractive than ever.
Indian Life Insurance Corporation, or LIC, as we usually know, it was once considered an insurance giant, but now has given way to large insurance companies such as AEGON Religare, Aviva, Bajaj Allianz, Bharti AXA, Birla Sun Life, Canara HSBC Oriental Bank or Commerce Life Insurance Company, DLF Pramerica, Future Generali, HDFC Standard Life Insurance Comapny, ICICI Prudential , Kotak Mahindra, Max New York, Met Life, Reliance Life, Sahara India, SBI Life, Shriram Life, Star Union Dai-ichi and Tata AIG.
With increasing life expectancy, it makes sense to take appropriate measures to live with a certain comfort. No one saw tomorrow, but today we have power.