How to Select the Best Life Insurance Today

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How to Select the Best Life Insurance Today
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The Insurance industry is no longer limited to
traditional term plans and whole life insurance
plans. Individuals now enjoy the benefits of
accessing through an array of choices that range
according to their eligibilities. These plans
range between pension plans with regular monthly
income, money-back policies and plain life cover.
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As an individual, it is important for one to
understand their financial standing and need
this will in turn help you to choose the right
plan. Heres how you can go about it
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Evaluation of need for insurance An individual
will need to create a list of your financial
needs in the form of priorities. One can consider
adding a life cover insurance policy on the top
of the list of requirements. Assets and
Liabilities Your current assets and liabilities
will help you decide on the kind of insurance
plan or policy you need. Few of these could be
future college expenses, marriage, business, home
loan, auto loan among others.
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What are the different kinds of life insurance
plans available in India?
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Term Life Insurance Term life plan is for a
limited period. The insurance can be claimed only
if the insured person dies during the insurance
term. This is said to be a low cost
plan. Endowment Plan An endowment policy is an
insurance plan that covers the life of the
insured as well as helps the insured to save
regularly over a period of time to claim a lump
sum on the maturity of the term. Such insurance
plans can be used for funding school/college
fees, retirement as well as housing loan. Whole
Life Plan Whole Life Insurance plans cover the
insured wholly. The said policy can be claimed in
an unfortunate demise of the insured person,
irrespective of when it happens during the term.
The rates for this plan is slightly higher
compared to term life insurance.
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Apart from these life insurance policy plans,
individuals can also apply for Unit Linked
Insurance Plan (ULIP). It is always advisable to
look out for a IRDA certified agent or
professional whenever opting for a life
insurance plan. One can also get a number of
options available online.