What is the Sabse Pehle Life Insurance campaign?
Sabse Pehle Life Insurance is the Indian life insurance industry’s first joint mass media campaign launched by the Life Insurance Council.
This campaign aims to encourage Indian households to opt for adequate life insurance cover as the fundamental necessity in their lives.
Your Life Insurance should be the base of your financial planning. Before you decided to look at other financial instruments, ensure that you have protected and provided for those who matter in your life.
However, there’s a lack of awareness about life insurance products in the Indian market today. This is mainly because people are not fully aware of the utility of these policy products. Thus, the Life Insurance Council has decided to launch the ‘Sabse Pehle life insurance’ campaign to turn things around for the better.
What are the goals of the Sabse Pehle Life Insurance campaign?
The primary goals of the Sabse Pehle Life Insurance Campaign are,
1. To increase awareness among Indian families about the value provided by a life insurance plan.
2. Also, focus on elucidating the terms and benefits of a policy in a clearer manner, so it’s easily understood by the common man.
3. To bring about essential changes like simplifying the process of purchasing insurance and encouraging people to use insurance primarily as a protection plan rather than a tax-saving tool.
Read More: What Is Balic Care?
What are the different types of life insurance plans?
- Child insurance plan – If you want to fulfill your child’s future financial goals such as higher education, entrepreneurship, or marriage, then opt for a child insurance plan. Some Facts about Child plan in 2020.
- Retirement plan – It helps the policyholder to build a financial cushion for the future so that they live a tension-free retirement life.
- Health insurance plan – It offers coverage against medical expenses that are incurred by the insured person when he/she gets hospitalized because of being injured or ill.
- Unit linked insurance plan – Investment cum insurance plan. An amount of the premium is used as insurance while the remaining is invested in funds such as debts, equities, etc.
- Term insurance plan – Term insurance provides financial cover to the dependents of the family member in case of his/her death. It offers higher coverage at affordable premium rates. Get The Benefits Of Term Insurance in 2020
- Whole life policy – As the name suggests, whole life insurance policy offers coverage against death for the entire life of the policyholder.
- Endowment policy – This is an insurance-cum-savings plan. Here the amount of premium is kept as a life cover while the remaining amount is invested by the insurer.
How Much Life Insurance Cover is Sufficient?
Your life insurance cover amount should be determined after ascertaining your income, future goals, liabilities and any ongoing loan or debt that you may have. Your life insurance cover should usually be 12 to 15 times your annual income.
The simple formula is given below:
Life Cover = [15 x Annual Income + Liabilities + outstanding loans]
Possible changes to your Life Insurance policy once you have bought it:
All insurance companies are prepared for a situation wherein you may wish to make changes to your policy.
Changes could be in, the amount of coverage, Investment allocations, etc.
To begin with, you could start by reviewing your coverage. If you find it lacking, you can either ask your insurance provider to increase or decrease your protection as the case may be or cancel your policy altogether and look for another.
Things covered in Life Insurance cover:
Life Insurance is a way to help your family to survive financially when you are not around.
Almost all Life Insurance policies cover an unfortunate passing, an event or anything else that is included in your insurance policy.
It is important that you read through the fine print and understand what your insurance policy includes and excludes it before you buy it.
Following Expenses & Death Covers are included:
- Monthly bills & everyday expenses
- Co-signed debts
- Child care or dependent care
- College tuition
- End of life expenses
- Types of death covered: Natural, Accidental, Suicide, Murder.
Check The Top Life Insurance Companies In India
This Article is written by,Akshay M.