What is a savings insurance plan? Benefits of savings insurance plan

What is a savings insurance plan?

A savings plan is an insurance plan that provides you with insurance coverage along with the ability to build a financial corpus

A savings insurance plan is an insurance policy with a difference - it not only allows you to save and invest but also build wealth to meet your future goals. The saving plans help you build a regular saving habit so that you can get significant returns at a time when you require it.

Here are some benefits of savings insurance plans:

Savings plus insurance coverage
Savings insurance plans ensure that your loved ones get the financial assistance they require in your absence. Also, the plan acts as a financial safeguard against unfortunate events like accidents and death. The saving element in these types of policies not only increase the protection but also there are possibilities of regular payouts.

You develop financial discipline
With a savings insurance plan, you inculcate the habit of regular savings. We start to understand how savings help us reach financial freedom in our lives. You learn to protect your family and build a financial corpus for your life goals.

Tax benefits
Like any other insurance plan, most of the savings plans also offer you with tax benefits on the premiums paid (subject to the maximum limit offered under Section 80C of the ITA, 1961). Savings life insurance plans, thus, offer excellent tax saving options.

Maturity benefits
Almost all savings plans also give you maturity benefits. The policyholder (or the family) will get the funds either because of an event that would provide the insurance coverage or because the policy has reached maturity. At maturity, you generally receive the fund value depending on the prevailing NAVs. There may be regular periodic payout under an appropriate settlement option.

Flexibility & liquidity
Most of the savings insurance plans offer many fund options and portfolio strategies as choices. One can switch between different funds (equity and debt) a specified number of times. Also, regardless of your premium payment term or the policy, once the lock-in period is over, you can either partially or entirely withdraw the funds from your account.

If you wish to find the best savings plan in India which meets your requirements, it is essential to understand your goals and requirements. Call us at 9818510748 and speak to one of our experts in regards to your savings goals.

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