Life insurance

Postal Life Insurance is a 125 year old life insurance scheme run by postal department in India. The postal life insurance scheme is for people who are not capable enough to afford the private companies insurance policies. This policy was initially started for employees of Postal Department and is now expanded to cover all central and state government employees. After the success of this scheme Postal Insurance made a new scheme for Rural people called as Rural Postal Life Insurance to make advantage to rural people which accounts for 60% of India’s population. This Postal Life Insurance Scheme gives better returns than other products. Recently postal life insurance announced a bonus of Rs 70 on Rs 1000 sum assured which means the insurer gets sum assured plus annual bonus when policy period is over. In comparison to that Life Insurance Corporation of India (LIC) has till now given a bonus of Rs 38-40 in past five years. Also this Postal Life Insurance scheme provides various tax benef...

Life Insurance is one of the commonly available instruments. in life. Life Insurance has 2 main benefits: 1. All insurances life insurance is aimed to protect against any financial, economic loss. With LIFE INSURANCE the loss is protected against the value of human life. This capital is defined as future income which is considered with value of current person. So we can say that life insurance is an investment for future income. 2. On insuring with life insurance one gets a tax free death benefit which replaces the capital value of insured. Definitely this doesn’t replace the person to make up for loss of the person but helps to make up the financial loss. Whether you are young, new or a person in retiring age life insurance need is for everyone. Many people feel that having too much of money spend on insurance is not good. But actually there are 2 approaches on basics of which one can decide how much insurance is needed. 1. Income Approach: This approach takes into consideration curr...