Insurance is a contract or policy for a stipulated consideration or premium in which one party secures to pay compensation the other for loss on particular subject by particular risks. A person can get insured for different types of policies like life insurance, travel insurance, home insurance, vehicle insurance, property insurance, health insurance etc. Each type of insurance policy has its own benefits but the main benefit of getting insured is the same to get compensation for losses. General insurance benefits that are being offered by an insurance company for any type of insurance policy are discussed below:
Life is always full of uncertainties. In the scenario of these risks, concept of getting insured is a way to cover risks. Insurance policy of any type ensures you to live happy and safe against any unforeseen event.
Planning for Life
Insurance not only provides financial support in case of any financial loss but it also serves as a long term investment at the same time that usually people don’t make in routine. Money obtained at the time of termination of insurance policy, you can meet your several needs like children’s education, family functions, building dream houses or help you in planning a relaxed life thereafter.
Protection against Heavy Losses
Insurance policies offer benefits against health or other risks that can go very expensive if you are not insured but if you have purchased some insurance policy and the loss incurred lies under the benefits offered by that policy then you will be able to cover all expenses if loss was really a surprise for you.
Safe and Profitable Long Investment
Insurance policies are planned in a way to make it possible that you face lesser and lesser risks of payment you make in every insurance premium. Agreed amount o interest is added to your investment after every month or on annual basis. Having an insurance policy, you will not need to think about risky short term investments.
Assured Income of Annuities
Insurance policies are one of the best instruments for future planning. The money you save through the insurance premiums will be your source of income after the insurance policy is over and when you will need money. You can take this money in lump sum amount of take it in installments.
Insurance policies offer attractive tax benefits to policy holders.
Not only these there are lots of benefits of getting insurance policies that differ from case to case like how much you pay each month as insurance premium and what benefits an insurance company offers.