Endowment Policies are investment product which covers the investor's life risk for a definite period akin to a Term Policy, but also have a saving element associated with it. Thus, they are regular savings plan which has life assurance too.
This means that the nominee will receive the sum assured along with bonus in case of the insurer's death while the insurer will receive the maturity amount in case he or she survives the policy period.
Money Back Plans are a special type of endowment life insurance plan where the insured or the policyholder receives regular payouts as a part of survival benefit from the Insurer. These payouts are paid in installments before the policy period ends.
You might have brought a Life Insurance Policy but you may be underinsured. Suppose, Ram annual income is 12 Lakhs but has a policy worth 2 Lakh only, then Ram is underinsured. He needs a policy worth 1.20 Crores because the general rule says that a person's Life Insurance Policy sum assured should be equal to his HLV or Human Life value which is equivalent to 10 times his annual income.
It is difficult for a layman to identify the best insurance company or plan that suits him and his financial goals. This is why you should only invest after consulting professional financial experts like Swaraj Wealth. Just keep your KYC documents and Cheque ready and leave the rest to Swaraj Wealth.
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