How to make the most of my life insurance policy?
A life insurance policy is a financial tool that provides financial security to your loved ones in case of any unfortunate event. However, life insurance policies can also help you meet your financial goals and aspirations during your lifetime. One such policy is the money-back plan that provides periodic payouts to the policyholder during the policy tenure. In this blog, we will discuss how to make the most of your life insurance policy and introduce the Canara HSBC Life Insurance iSelect Guaranteed Future Plan as a beneficial policy for your financial goals.
Money-back plans are designed to provide regular payouts during the policy term, along with life cover. These plans can prove beneficial for those who have regular financial needs or aspirations. The payouts can be utilized to fulfill short-term goals or to meet regular expenses. Moreover, if the policyholder survives the policy term, he/she receives the entire sum assured as a lump sum payment.
One such plan is the Canara HSBC Life Insurance iSelect Guaranteed Future Plan, which is a non-linked, non-participating, and limited premium payment policy. This plan offers a life cover to the policyholder along with guaranteed benefits and payouts. Let’s take a closer look at the benefits of this plan:
Protection for dependents
The plan offers comprehensive life cover that provides financial security to your loved ones in case of any unforeseen event. The policyholder can choose the sum assured as per their financial requirements and secure their family’s future.
Gift of guarantee
This plan offers guaranteed payouts at specific intervals during the policy term, which can help in meeting the policyholder’s short-term financial goals or expenses. Moreover, the plan offers guaranteed maturity benefits, which ensures that the policyholder receives the entire sum assured as a lump sum payment on the policy’s maturity.
For example, the maturity benefit calculated for a 25 year old healthy male who has opted for an annual premium of ₹2,10,000, a premium payment term of 10 years, and a policy term of 20 years, would get a maturity benefit of ₹51,84,468.
Boost the maturity benefit
The iSelect Guaranteed Future Plan offers an additional boost to the maturity benefit during the last 5 years of the tenure, which increases the total payout on the policy’s maturity. The boost is provided in the form of an additional percentage of the sum assured, which can help in meeting the policyholder’s long-term financial goals.
Payer premium protection cover
This plan offers an additional benefit of payor premium protection cover, which ensures that the policy remains active even in case of the policyholder’s demise or critical illness. The premium for the remaining policy term is paid by the insurer, and the policy continues to provide financial security to the family.
Pay as you like
It offers the flexibility to choose the premium payment frequency at the policyholder’s convenience. The policyholder can choose to pay the premium annually, half-yearly, quarterly, or monthly, as per their financial planning.
The plan also offers tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961. The premiums paid towards the policy are eligible for tax deductions, and the payouts received from the policy are tax-free.
In conclusion, a life insurance policy can prove to be a valuable tool to meet your financial goals and aspirations during your lifetime. The Canara HSBC Life Insurance iSelect Guaranteed Future Plan is a beneficial policy that provides comprehensive protection to your loved ones along with guaranteed benefits and payouts. With its flexible premium payment options and additional benefits, this plan can help you make the most of your life insurance policy.