Whole Life Insurance: It is also called life time insurance policy. In this, you get insurance coverage for 99 years. On the death of the policyholder, the nominee gets the death benefit.
Whole Life Insurance: The importance of insurance has increased a lot during the Corona period. Now people have increased awareness about buying insurance products. Despite this, insurance has a limited reach in its country. According to the annual report 2020-21 of insurance regulator IRDAI, insurance in India accounts for only 4.2 per cent of GDP, while the penetration of insurance globally is 7.4 per cent. Non-life insurance penetration was only 1 per cent as of March 2021. In this article, we are going to tell you about a life insurance policy in which your entire life is covered. Its name is Whole Life Insurance.
Whole Life Insurance is a traditional life insurance plan that covers the entire life of the insured. Other insurance products offer coverage for a limited time period. In this policy the insured individual is covered for 99 years. Ice understands the special features of this policy in detail.
1>> This product is considered good for those people, who have responsibility even in old age. If you have bought a whole life insurance policy, it gives you coverage for the whole life. Apart from this, legacy is also left for the children. After the insured person leaves, his family will continue to get the benefit of the children.
2>> The maturity of whole life insurance policy is completed in 100 years. If an individual lives for 100 years, then it works like a matured endowment plan. In such cases, the insured person gets the benefit of maturity.
3>> There are two modes of premium payment in Whole Life Insurance. Under one category, the insured individual pays premium for the entire life. Under the second category, he collects the premium for the limited period. However, in both the cases, he gets life time protection.
4>> Maturity benefit under whole life insurance policy is completely tax free. Its benefit is available under section 10(10D) of the Income Tax Act. Deduction is available on premium amount under section 80C
5>> Talking about maturity benefit, some insurance companies give only death benefit. In this, after the death of the insured person, the nominee gets the death benefit. Some insurance companies also offer survival benefits. The premium is deposited for a limited time period under the policy. Coverage is available for 100 years. After the death of the insured person before the age of 100, the nominee gets the death benefit along with the bonus. Many policies have this facility that after the completion of the policy term, he gets some part of the sum assured every year as survival benefit.
