Life insurance plans offer coverage against unfortunate events such as death or disability of the policyholder. In addition to financial protection, there are various types of life insurance policies that allow policyholders to maximize their savings through regular contributions to various types of equity and debt funds.
You can choose life insurance to secure your family’s financial future against life’s uncertainties. Insurance coverage consists of a large amount that is payable to your loved ones if something happens to you. With this type of insurance, you have the option to choose the term of the life insurance, the amount of coverage and the option of payment based on financial requirements.
This is the different types of life insurance
Term life insurance
Whole life insurance
Investment insurance plans
Term life insurance plans
Term insurance is the cleanest and most affordable of the insurance types where you can opt for high life cover for a specific period of time. You can secure your family’s financial future with a term life insurance plan by paying low premiums (term insurance plans generally have no maturity value and therefore offer lower premium rates than other life insurance products.)
If anything happens to you during the policy period, your loved ones will receive the agreed sum insured according to the selected payout option (some types of term insurance also offer multiple payout options)
Whole life insurance
Whole life insurance plans, also known as “traditional” life insurance plans, provide coverage for the entire life of the insured individual, unlike any other life insurance instrument that offers coverage for a set number of years.
While a whole life insurance plan offers a death benefit payment, the plan also includes a savings component that helps build cash value over the life of the policy. The maturity of whole life insurance is 100 years. In case the insured reaches the maturity age, the entire life plan becomes a matured deposit.
Endowment funds essentially provide the policyholder with financial cover against life’s uncertainties and at the same time allow them to save regularly over a period of time. After the maturity of the subsidy plan, the policyholder will receive a lump sum if he survives the policy term.
If something happens to you (as the life insured), the life insurance policy will pay the entire sum insured to your family (beneficiaries)
Life Insurance Plan (ULIP)
Unit Linked Insurance Plans are types of insurance that offer both investment and insurance benefits within a single policy. A portion of the premium you pay for a mutual fund insurance plan is allocated to various market-linked equity and debt instruments.
The remaining premium contributes to the provision of life cover for the entire duration of the policy. In this investment type product with insurance, you have the flexibility to choose your premium allocation across instruments as per your financial requirements and market risk appetite.
Child plans are types of insurance policies that help you financially secure your child’s life goals, such as college education and marriage, even in your absence. In other words, child plans offer a combination of savings and insurance benefits to help you financially plan for your child’s future needs at the right age.
The amount of money received on the maturity date under this type of insurance can be used to meet your child’s financial requirements.
A retirement plan, also known as a retirement plan, is a type of investment plan that helps you accumulate a portion of your savings over a longer period of time.
Essentially, a pension plan helps you deal with financial uncertainty after retirement by ensuring that you have a steady stream of income even after your working years are over.
In other words, a pension plan can be a type of insurance in India that allows you to build a financial cushion for your post-retirement life into which you regularly contribute a certain amount of money until you retire. Subsequently, the accumulated amount is returned to you at regular intervals as an annuity or pension.
With Max Life Insurance, you can find comprehensive plans like Max Life Smart Wealth Plan or Max Life Smart Secure Plus Plan to meet your specific investment goals and ensure financial security for your loved ones.