Life Insurance Myths in India

Even when there is no dearth of life insurance policies and availability of information related to them online as well as  offline, there always remain some misconceptions and myths in the life insurance sector. This opinion persists because a huge chunk of people in the market still does not understand what is life insurance all about.However, you should stop believing these things for a simple reason that life insurance policies are aimed at helping people and provide them with financial securityin difficult times. Here are some of the myths that you should avoid giving any heed to henceforth.

Young people don’t require life insurance

Being young simply means that you remain in the pink of your health and life insurance might not seem an urgent requirement for you as of now. However, this is a wrong perception that prevails in society and in the minds of most of the people. Younger people are generally considered at a lower risk for life insurance providers. Theycan choose from differenttypes of life insurance policiesand get them at lower premiums than their aged counterparts. Understand that sooner you start; the better it is for you. The reason being, opting for life insurance early helps you meet financial responsibilities as your family grows and financial responsibilities increase.

It’s just about paying premiums and never getting money when needed

Another myth about life insurance policiesthat people believe is that life insurance is merely paying premiums and never getting the money back when you need it the most. This perception takes origin in the fact that most of the people believe that life insurance companies torment and take too long to settle a claim. Settling a claim is a taxing chore that a family in need don’t want to face. People believe that companies knowingly delay and harass people so that they need not pay for the life insurance policy that they have bought. This is not true though, at least anymore.

The employer-sponsored life insurance suffices

It’s also one of the myths or rather say misconceptions that the insurance coverage that an employer provides is enough. But, the fact is it’s not. Most of the times, the employer-sponsored life insurance doesn’t cover current and future liabilities as it comes with fixed benefits that don’t even allow you to add riders or other benefits.Moreover, if you move from one job to another or retire, your life insurance coverage ends. Hence, it is imperative for you to buy a policy from the best life insurance company in India.

Only breadwinner and older people should get life insurance

Another misconception about the life insurance policies is thatonly the breadwinner of the family should get the insurance so that if something unlikely happens to the life insured, the family members get financial benefits. Family members who are not the earning hands and hence they don’t require life insurance is a wrong perception. On the other hand, it’s also among the myths that only older people should be insured as they remain more at the risk of bad health and life-threatening diseases. In fact, people should check different types of life insurance policies in India and choose what suit their requirements the best.

Conclusion

They say a stitch in time saves nine and this is true when it comes to buying a life insurance policy at the right time. Nonetheless, it is imperative for all of us to ensure that we shouldn’t believe in such myths prevalent in the market.Rather, research more about it and busts all the myths away! You’d also know about the insurance riders and buy them to safeguard your interests in a better way.