Life is not guaranteed; it is a bitter pill to swallow for most of us. Even thinking about it can give us goosebumps. Probably, one of the reasons why some individuals do not invest in term life insurance policy as they do not want to think about the negative. But as much as we hate to have the same chain of thought, it doesn’t undermine the imperativeness of having life insurance.
We mean, think about it. If the thought of death can frighten you, imagine how your family would feel if it became a reality. It can not only be an emotional nightmare but also a financial nightmare if your family depends on you financially. As the breadwinner of the family, the last thing you would want is for your family to struggle financially and give up on their dreams because of the financial adversities that your unfortunate death can leave behind.
This is why buying a term life insurance policy is imperative.
Let’s take a look at the advantages you buying a term life insurance policy
Why Should you Buy the Best Term Life Insurance Policy?
- Ensures Financial Security for your Family:
If you are the only earning member of the family, your family depends on you for your financial life. Any fatal occurrence can cause a significant financial shock for your family and affect their financial future for the worse. However, with a term life insurance policy, you can ensure that you are offered financial assistance to manage the necessary expenses smoothly.
- Helps you Lead a Stress-free Life:
Between your hectic schedules and a hundred things you have to worry about, the last thing you would need is to live in fear of the uncertain things in life and their impact on your family. You might not be able to avoid uncertainties, but you can help your family be prepared for them if and when they strike. This is where a term life insurance policy comes into the picture – it creates a financial net around your family. It is beneficial not only for your family but for you as well. Wondering why? It is simple.
When you know your family is financially secure in the face of tragic uncertainties, you would be stress-life. You wouldn’t have to worry about tomorrow knowing that it is already secure. Consequently, you can direct your attention towards more crucial matters, or if not, just enjoy your time with your family without worries.
- Helps Lower the Emotional Stress:
Death has never been liked. It brings forth rock-heavy grief for those who are left behind. It’s not easy to cope with grief, let alone handle the financial pressure that comes with the breadwinner’s unfortunate demise.
However, having the best term life insurance policy on your family’s side, they would not have to worry about their financial position. They would get their time to grief without burning midnight oils and making compromises to gather financial support.
- Saves you From tax:
If you are looking for authentic and legal ways to save tax, you got one – term life insurance policy. The Finance Ministry of India has introduced several term insurance tax benefits under Income Tax Act’s Section 80C. As per these benefits, the premium paid towards life insurance is tax-deductible. This means the premiums will be deducted from your taxable income.
Let us understand this through an Example:
Let’s say you earn INR 8 Lakh per annum; now, as per the tax laws, you would have to pay tax on INR 8,00,000. However, if you have paid INR 20,000 as a yearly life insurance premium, the tax will be computed on INR 7,80,000, not 8,00,000; ultimately helping you save money that you would have otherwise paid as tax.
- You Get More than What you Pay:
A term life insurance policy comes at a cost; the cost is the regular premium you have to pay for a while to enjoy the financial perks. This cost is significantly less than what your family gets as the death benefit or sum assured. Not to mention, a term life insurance policy is the most affordable life insurance out there.
Your family can get a sum assured of INR 1 crore by paying 600 as a monthly premium. (Please note; the amount depends on your insurance company and a plethora of other factors.)
The Bottom Line:
A term life insurance policy is the best way to provide financial assistance to your family in your absence and be stressed-free in your life! So, go ahead and invest in the best term life insurance policy today!