Life insurance is like the safety armour which provides an individual and their family with a secure financial future. It proves itself as a savior in times of financial crisis that can drop anytime to disturb financial stability. The purpose of a life insurance plan is to provide financial protection to the insurer’s family in case of their passing. The sum assured can cover various expenses, such as ongoing expenses, children’s education, etc.
Many insurers prevail in the market that claim to provide the best life insurance plans in India. Before finalizing one, certain points should be considered to avail the best insurance plans in India. Moving forward in this blog, we will unpack the benefits of a life insurance plan and the different types of life insurance plans available in India.
Benefits of buying the Best Life Insurance Plans in India
- Financial Security with Peace of Mind: The best life insurance plans in India provide the insurer and their family with financial security in case of any unforeseen event. It gives peace of mind to the insurer that their family will be financially stable even if they are not present with them. Every individual has financial liabilities that need to be taken care of, and buying an insurance plan will help them fulfill with ease.
- Tax Saving Benefits: A life insurance plan offers two kinds of tax benefits to the insurer. Premiums paid by the insurer can be claimed as deductions under Section 80C of the Income Tax Act of India. In section 80C, they can claim upto INR 1.5 lakhs of premium if paired for the previous year and reduce one’s taxable income. Also, some maturity life insurance plans are entirely tax-free and can be claimed under Section 10(10D) of the Income Tax Act.
- Investment Benefits: Individuals looking for an investment plan can surely turn towards getting the best life insurance plans in India. These plans provide the insurer compensation benefits during the policy term and even afterwards.
- Rider Benefits: One of the most attractive benefits that comes with the best life insurance plans in India is the rider benefits. These benefits are add-ons to the existing life insurance policy that help the policyholder customize the plan according to their specific requirements.
- Death Benefits: This benefit entails a payment of a predetermined amount to the nominee in the unfortunate event of the policyholder’s demise. The loss of a person cannot be compensated with anything. Funds received via life insurance can at least help the family to cover financial losses to a certain extent.
Different Types of the Life Insurance Plans Available in India
There are many types of life insurance available in India that cater to the requirements of different individuals. Let us know about the best life insurance plans in India in 2024:
- Term Insurance Plans: It is a type of basic life insurance plan that is straightforward and cost-effective, providing high coverage amounts at affordable premiums. This plan type is also known as a pure protection plan, as the policyholder has to only pay for the life cover. A term insurance plan will aid the nominee in covering expenses and ongoing loans in case of the demise of the policyholder. Rider benefits such as child support rider can be added to it and increase the life cover benefits.
- Whole Life Insurance: This life insurance provides lifelong coverage until the death of the policyholder, and it is commonly known as permanent life insurance. The premiums of a whole life insurance plan are higher than other life insurance life plans in India. Additionally, they help you build cash value over time as they come with a savings component.
- Unit-Linked Insurance Plans (ULIPs): A Unit-Linked Insurance Plan comes with the dual benefit of insurance with investment, as the policyholder can invest in various funds. This life insurance plan comes with flexibility and potential returns that make it suitable for individuals seeking insurance with coverage and wealth creation.
- Endowment Plans: An endowment plan is an all-in-one package with insurance protection, tax, and maturity benefits. Endowment plans offer maturity benefits to the life insurer and settle the claim at the end of the policy term, even if not claimed by the insurer.
- Child Insurance Plans: It provides financial protection for the child’s future upon an unforeseen event of the parent’s demise, who was the policyholder. A parent is always concerned about their child’s future. Hence, investing in the best life insurance plans in India can secure their future for good. It will cover their expenses, such as education and marriage.
Protect your Family’s Future with the Best Life Insurance Plans in India
The popularity of life insurance plans is increasing daily in 2024 in India as they come with numerous benefits. Also, having a life insurance plan for oneself and family is important in uncertain times to sustain financial stability. Many life insurance providers offer the best life insurance plans in India that are suitable for individuals with different requirements. One such life insurance provider is Canara HSBC Life Insurance. They provide a variety of life insurance plans with multiple benefits. One can visit their website to learn more about life insurance plans in 2024 and avail one to secure themselves and their family’s future.
