You may think that being young healthy and a little short of money is not an ideal situation to get yourself insured but you are wrong. It pays off when you start early, and let ‘being safe rather than sorry’ become your financial mantra. While making the most of your life, also learn to keep aside a little for a rainy day, since life is quite unexpected.
Here’s why you should buy life insurance at a young age.
Health Benefit
Starting off at a young age acts as an advantage because your body mechanisms are relatively new and therefore less prone to ailments and grave diseases. As age and stress start to get the better of you, it might prove difficult to acquire adequate coverage at affordable prices.
Age Benefit
The fundamental question insurers ask is, what are the odds of the policyholder making a claim? Since you’re younger, the potential of you claiming coverage in the near future is lower compared to somebody older and more at risk.
Your life insurance company will also offer you a longer-term period of insurance that means that your premiums will be quite low.
Expansion Benefit
Starting off with a cheaper premium allows you to expand the term life insurance policy in relation to the gradual increase in your income. You can continue to pay the convenient amount of premium with the option of widening your cover by consulting the insurer and modifying your plan at any time.
Insuring yourself while young and relatively free of responsibilities is a smarter and more economical choice rather than having to pay so much more to purchase a large cover once you have dependents.
Living Benefits
Many life insurance policies offer a variety of living benefits, which means that you receive valuable perks during the course of your life too. These would depend on the product, type of policy and insurance firm you select.
Early Bird Benefit
As you grow older, your risk increases. Diseases result in a stark rise in the premium to be paid to the firm to insure your life. Insure early to lock those low premiums.
Tax Benefits
Life insurance policy holders in India enjoy benefits under the Income Tax Act of 1961. Although it is financially beneficial, your commitment should be towards creating a healthier and safer future.
Consult your family, financial advisors or browse online to get a clear idea of which is the best term life insurance policy for you. Do not fall for gimmicks of the cheapest plans, research thoroughly and always invest wisely.
Know more about online term insurance policies at 5 Paisa Insurance.
