Why is insurance important? We all want to achieve financial independence at some point in our lives, and when it comes to doing so, we believe savings are enough to be financially stable. But, if you look at life from a practical point of view, you will understand that saving alone is not enough to achieve financial independence; it is just as important to insure your property with general insurance policies. However, some people feel that they do not need normal insurance policies because they can save enough money to change their property if something happens to them. But, consider a situation where you have to erase everything you have saved all your life, just to pay your medical bills or repair beyond a damaged car. Here are the main reasons why it is necessary to have insurance: –
1. Financial security No matter how much you earn or how much you have saved; your financial situation can deteriorate in an instant from an unforeseen event. Thus, the best way to become financially secure is to cover yourself, your family and property with insurance. In case of unforeseen event you can purchase or renew insurance online and get paid for financial assistance.
2. Transfer of risk The insurance contract operates according to the”principle of transferring financial risks from the insured to the insurer.” As an insured, you pay a premium to receive compensation from the insurer in the event of an unforeseen event. Thus, having insurance reduces the financial burden on your shoulders.
3. Complete safety for you and your family Family is the most important asset you have and your family also depends on you for financial support. It is therefore important that you and your family be completely safe to deal with any emergencies.
4. More stress or stress in difficult times None of us can see the future or predetermined future events. Any unexpected tragedy can put pressure on you physically, mentally and financially. Thus, if you have insurance to take care of the consequences of tragedies such as illness, injury or permanent disability, or even death, you protect yourself and your family from stress and stress. With insurance, any financial stress will be taken care of and you can focus on your recovery.
5. Some types of insurance are mandatory Insurance is necessary because it is sometimes mandatory according to the law. Car insurance is an example. According to the Motor Vehicles Act 1988, it is mandatory to have at least one third party motor insurance for every motor vehicle travelling on the road in India. Car insurance is very useful when making a claim. At Iffco Tokio, we have made it even better with our fast claims resolution process that, as the name suggests, speeds up claims resolution. 5. Peace of mind Having insurance also gives you financial security and peace of mind. No amount can replace your peace of mind. So, when you have insurance, you know that you are protected from any unforeseen events in life, giving you complete peace of mind. The sum of all these reasons provides sufficient reasons for the need for insurance. And with the convenience of taking online insurance from a general insurance company like Iffco Tokio for you, your family and property, financial freedom and peace of mind are quite achievable.
How To Get More Benefits When Buying Insurance
They have a longer life expectancy They are less likely to be diagnosed with a serious illness They are more likely to pay premiums over the years You are not in your twenties? Don’t worry. There are still many inexpensive options. But if you want to make the most of every premium dollar, it pays to do your homework and find out what you want from your coverage. Most policies have riders that can add interesting benefits for a relatively small additional amount. Two of the most popular runners include: Quick death benefit: this runner diagnosis can help pay for the care needed for chronic or terminal illness. While this can be very useful when needed, you should also know that paying out funds will generally reduce the death benefits your family pays for.
5 Disability premium waiver: this valuable support gives you the option to stop paying the premium if you have a disability while maintaining your coverage. 6 There are other types of riders you should also be aware of, so talk to an experienced professional – such as a parent finance professional-before you decide to purchase a policy or another. You should also learn about other ways to control the costs of your policy, including: You and your spouse carry out a joint policy Get group rate insurance from your employer Buying a whole life insurance policy that accumulates cash value, which can later be used to reduce monthly premium costs