As a woman, it is crucial to have your own financial backup to secure yourself and your loved ones. Be it your retirement plans or life goals, investing your money in the right financial instrument is important. Life insurance is one such tool suitable for both homemakers and working women, as it enables you to create wealth while securing a life cover. Continue reading to learn the top five reasons why working women need life insurance.
- Secures against various risks
By purchasing a life insurance policy, you can now enjoy additional coverage with add-on covers. These extra components come at a nominal rate and secure you from risks such as accidental death, disability, loss of income, critical illness, etc. Working women require backup from such uncertainties in life, especially to safeguard their family. In case something were to happen to you, this lump sum payout would help protect your parents or children from any financial crunches. When you consider the overall cost of the add-on cover, it is much lower than the benefit it extends.
- Offers financial cushioning
Just like every woman, you would want your family to be financially independent in your absence. With life insurance, you can ensure just that by getting a high-risk cover. Term life insurance enables you to select a higher sum assured amount at an affordable premium rate. Therefore, you can easily estimate the expenses of your family and the retirement corpus for your parents to get an exact figure. If something untoward were to occur, your loved ones would have enough financial cushioning to be self-sufficient.
- Allows wealth creation
To fulfil your dreams of purchasing a home, going on a vacation, or completing higher education, life insurance helps you with it. Apart from term plans, you can choose from various types of life insurance that has a savings component. Based on your requirements, you can easily opt for a regular lump sum payout or a maturity payout on completion of the policy tenure. Such a lucrative feature of insurance policies enables you to create wealth and meet long-term life goals. As a working woman, such an investment can go a long way in safeguarding your future without anyone’s help.
- Enables more savings with discounts
When it comes to a life insurance policy, companies assess the risk of the insured. So, as a female policyholder, you can avail a lower premium quote when compared to a male applicant. This is because statistically, the life expectancy of women is higher than men. Hence, you can enjoy a discount on your insurance plan and get a cost-effective premium rate. In case you do not have any health conditions, family medical history or any unhealthy lifestyle habits, your life insurance premium shall be an affordable one!
- Provides coverage from other risks
You may have taken an education loan to complete your studies or a home loan to invest in real estate. But in case of an unfortunate mishap, your parents or family would be left with the burden of paying it off. However, with an insurance plan, you can secure a financial backup from such risks. So, the sum assured can help with clearing such debts without any trouble.
Now that you are aware of some key reasons for purchasing insurance as a working woman, ensure to choose well. There are several types of life insurance policies available in the market to suit your needs. So, research various plans to get one today and secure your future! Ensure to go through the terms and conditions as well as the exclusions of the policy before buying it.