What Is Insurance: You must have often heard the name of term insurance or life insurance. Even today people are not very conscious about this. At the same time, it is very important for the financial security of the family. Let us know what is term insurance and life insurance, what is it and what are its benefits.
Insurance: In today’s time, insurance plan has become a necessity for the people. People understood better during the Covid period that term insurance is necessary, but still there are many people who consider term insurance useless and do not want to invest money in it. At the same time, it has also been seen that after the Corona period, people have become a little conscious about health insurance. Let us know which is better for you between life and term insurance.
What is term and life insurance?
Life Insurance: In a way, the policy works to provide coverage to the entire life. In life insurance, if a person dies in any kind of accident, then the insurance company provides financial assistance to his nominee in the form of maturity benefits, surrender benefits, loyalty addition, etc.
Term Insurance: Term insurance is a policy in which coverage is given at a fixed payment rate for a fixed period. In this, if the insured person dies, the cover amount is given in lump sum to the nominee. In this stage the family gets financial security. One more thing is that maturity return is not available in term insurance.
Which of these two is more beneficial?
Pay special attention to whether you should buy life insurance or term insurance, it depends on your needs. Whereas term insurance is cheaper than life insurance. Term insurance plan gives you more returns for less money. With this you can also save money. Pay special attention to the fact that if a person leaves the premium payment midway in a term insurance plan, then he does not get the benefits and the policy also gets discontinued.
