Life Insurance in Gwalior

Overview Life Insurance in Gwalior

Gwalior is one of the prime cities in the central state of the country, Madhya Pradesh. This city was nominated to be among the many cities to be developed into a smart city under the Smart Cities Mission. Gwalior is a culturally rich city with a very diverse culture and is also historically, politically and economically important in the country. The city has been considered to be a huge tourist attraction attracts tourist from all over the globe. This gives a huge push to the tourism industry which results in creating many employment opportunities for the people of the city.

The life insurance industry in Gwalior has many subscribers but still has a long way to go. Life insurance is the coverage provided by insurers for the loss of life to the nominees of the insured person or at maturity to the insured person.

Life insurance in Gwalior can be availed by every citizen. Given below are a few details regarding the same.

What are the types of life insurance plans available in Gwalior?

Life insurance is the most common type of insurance that is available to the citizens of the country. This insurance provides financial security to the insured person and their family members. It is a good investment opportunity as well for the customers as many plans provide decent returns.

Some of the basic types of insurances that can be opted by the customers for themselves or their family members are mentioned below.

Term Insurance

Term insurance is one of the most basic and cheapest forms of life insurance available to investors. The policy amount under this policy is given to the nominee of the insured person in the unfortunate event of the death of the insured person. If the insured person survives the policy term, there are no maturity benefits paid. Insured persons only get a life cover only under this plan. This plan does not provide a corpus investment like many other insurance covers.

Under term insurance, the coverage is provided for a fixed tenure. The insurer will be liable to pay the insurance coverage to the nominees of the insured person in the event of their death. When the insured person survives the tenure of the policy, there is no maturity benefit under this plan.

Additional Reading: What Is Term Insurance

Term insurance with return of premium

This option of a term plan is better than the regular term plan option. Under this plan, the insured person can get the premium amount returned at the end of the policy term if there is no claim payment made to the insured person. This option is better for persons having a clean bill of health as they are low-risk persons for the insurers. The probability of the claim being paid is quite low so the insurers can benefit from this plan by getting the premium amount back.

Child insurance plans

This is another investment cum insurance plan available for the insured person. Investors can start the policy for their children from the time of their birth to gradually build a fund for their education or higher education needs. investors also have the option to withdraw from the policy at regular intervals. Upon maturity of the policy or when the child reaches adulthood, the entire amount of the policy can be withdrawn and used to meet the needs of the children.

Additional Reading: Secure Your Childs Future With A Child Insurance Plan

Moneyback policies

The money-back policy is also in line with the premium return policy. Insured persons in this case can get back the amount of premium paid by them during the tenure of the policy. The policyholder can get a fixed percentage of the sum assured at regular intervals. The balance amount of the sum assured will be provided to the policyholder at the time of maturity of the policy. Policyholders are also eligible to get any of the accrued bonuses at the time of maturity. Death benefits will be provided to the nominees of the policyholder in the event of the death of the insured person.

Endowment plans

Endowment plans are a type of savings cum insurance plan. These plans help the policyholder not only get a life cover for themselves and their family but also build a corpus fund along the way. Policyholders get a lump sum benefit at the end of the policy tenure. They can use this fund to meet their financial goals.

Unit Linked Insurance Plans (ULIPs)

ULIPs have been present in the Indian market for decades. Insurance can provide the policyholders’ protection for themselves and their family members and is an effective tool to secure the financial future of the family. The premium paid by the policyholders is used for insurance and wealth building. A portion of the premium will be invested to take units of the investment chosen by the insured person. Such plans have a minimum lock-in period of 3 to 5 years and risk protection for the investor.

Whole life insurance

This is another common type of life insurance that is available for the residents of Gwalior. A whole life insurance policy is used to provide coverage to the insured person for their entire life. The tenure of the policy is 100 years and the policyholder will get the maturity benefits if they survive the policy term. Death benefits are provided to the nominee of the policyholder in the event of the death of the policyholder. Insurers can make payment for the premium on these plans for the first 10 to 15 years and enjoy the benefits of the plan for their lifetime.

Additional Reading: What Are The Benefits Of A Whole Life Insurance Policy

Group life insurance

A group life insurance is a cover taken by the employer of the organisation for their entire staff under a single plan. This insurance provides cover to the employees till they are part of the company. Upon leaving their company, the employer is no longer eligible for the benefits of the plan. Most insurers also provide the insurers with the option to convert their group policy to individual policy upon leaving the company.

Additional Reading: How does a group life insurance policy work?

Retirement plans

These plans provide financial security to the investors in addition to the life cover. The policyholder gets the benefit of receiving a fixed amount of money. Such money is received in the form of a pension in the vesting period. Death benefits are provided to the nominee of the policyholder in the event of death if the policyholder.

Additional Reading: Retirement Planning An Introductory Guide To Retirement Plans In India

Life Insurance in Gwalior FAQs