Let life insurance set you free

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Aspirations and change are the norms of our lives in today’s dynamic digital age. With individuals and families increasingly looking to live the good life, loans and large amounts of EMI are commonplace. Not surprisingly then, untimely passing away of a family’s earning member can often mean serious financial crises for loved ones. This has been made particularly evident in the recent COVID-19 times.

Who should buy insurance?

Whether you are a young professional with parents as your dependents, or a married person with a spouse and children to support, life insurance is a must. As you work hard to give your loved ones the best in terms of comfort, education, lifestyle, and healthcare; it is equally important for you to ensure their financial security in case of any eventuality.

Points to consider while purchasing insurance

This is where life insurance comes in. As a bread winner of the family, life insurance enables you to secure your family for the favourable certainties in life. Select a life insurance plan that helps you meet your current expenses while considering the future expected expenses, dreams, and ambitions of your family. And yes, do factor in for inflation and short-term emergencies.

Adequate insurance is a must to ensure your dependents have a secured future. The more loans and liabilities you have, the higher needs to be your insurance cover. Life Insurance can help your family maintain their existing lifestyle, remain financially independent, and even support your children’s future. When planning your finances keep in mind the rising costs of higher education and marriages. Take enough cover to allow your children the freedom to choose the careers they want and lead the lives they have dreamt of, without having to worry about expenses.

Traditional insurance covers and more

Today, the market has a wide range of life insurance policies for you to pick from. Traditional insurance policies, such as term plans, offer cover in case of death of life insured. But you can also opt for policies that can help you fund your retirement.

Why retirement plans make good sense

Good healthcare facilities and improved standards of living have increased life expectancy in India considerably over the last few decades. A healthy individual can easily look at 20-30 years post retirement. Retirement plans come with options of single withdrawal at the time of retirement or regular pay-outs from the age of retirement till death. Some couple policies also offer the option of continuing pay-outs to the spouse after death of one partner.

Well planned purchase of retirement policies can make one’s golden years independent and financially comfortable. Besides allowing you to maintain your previous lifestyle, retirement plans also serve as a reliable source of emergency funds during critical illnesses and hospitalisation.

In a nutshell, opting for life insurance today is no longer a luxury. It is a necessity to give your family the financial freedom to live the life you have planned for them, irrespective of whether you are with them or not.

When you are able to do that, you know you too are truly financially free!

(The author is Chief Strategy Officer, IndiaFirst Life. Views expressed are personal.)