Why seafarers must have Life insurance
Purchasing life insurance policy perhaps Seafarer's main monetary choices, however in all honesty, just 10% of Seafarers are safeguarded. However, for what reason is it so significant? Indeed, paying little heed to the amount you earn, nobody knows what's in store.
Lots of seafarers die prematurely every year from ailment or mishap and, in the event that you end up being the sole provider in the family and you were to die, it could have annihilating ramifications for your family their capacity to pay family costs, obligations and keep up with their way of life.
The least every seafarer can do, accordingly, is to get his family's monetary future by purchasing a disaster protection strategy, Life Insurance cover. In addition, don't ignore advantages of an extra security during your lifetime, particularly in case you are youthful. We list 10 convincing purposes behind purchasing a life coverage strategy.
Lots of seafarers die prematurely every year from ailment or mishap and, in the event that you end up being the sole provider in the family and you were to die, it could have annihilating ramifications for your family their capacity to pay family costs, obligations and keep up with their way of life.
The least every seafarer can do, accordingly, is to get his family's monetary future by purchasing a disaster protection strategy, Life Insurance cover. In addition, don't ignore advantages of an extra security during your lifetime, particularly in case you are youthful. We list 10 convincing purposes behind purchasing a life coverage strategy.
1.Life Insurance takes care of YOUR LOVED ONES even after you are gone.
This is the main part of extra security as Life Insurance that one requirements to factor in. You joined Merchant Navy to give good life to your loved ones. Your family is reliant upon you even after you're gone and you surely don't have any desire to let them down. Regardless of whether it's for supplanting lost pay, paying for your youngster's schooling or ensuring your companion get the genuinely necessary monetary security, disaster protection could make all the difference for your enduring wards.
2. Life Insurance manages DEBT:
You don't need your family to manage monetary liabilities during an emergency. Any remarkable obligation a home loan, vehicle loan, individual loan, will be dealt with if you buy the right life insurance policy.
This is the main part of extra security as Life Insurance that one requirements to factor in. You joined Merchant Navy to give good life to your loved ones. Your family is reliant upon you even after you're gone and you surely don't have any desire to let them down. Regardless of whether it's for supplanting lost pay, paying for your youngster's schooling or ensuring your companion get the genuinely necessary monetary security, disaster protection could make all the difference for your enduring wards.
2. Life Insurance manages DEBT:
You don't need your family to manage monetary liabilities during an emergency. Any remarkable obligation a home loan, vehicle loan, individual loan, will be dealt with if you buy the right life insurance policy.
3. Life Insurance accomplishes LONG-TERM GOALS:
Since it is an instrument that keeps you contributed as long as possible, it would assist you with accomplishing your drawn out objectives like purchasing a home or arranging your retirement. It additionally provides you with diverse investment options that come along with different types of insurance policies.
Some insurance policies are tied to certain investment products that pay dividends based on their performance. If you are opting for an investment-linked insurance policy, be sure to read the fine print to be fully aware of the potential risks and returns.
4. LIFE INSURANCE FULFILLS YOUR RETIREMENT GOALS:
Who wouldn't care for their retirement investment funds to go on until they do? With a life insurance plan, you can guarantee you have a standard stream of income each month. Placing cash in an annuity resembles a benefits plan-put in some cash consistently in a life insurance cover and enjoy a consistent income each month even after retirement.
5. BUYING INSURANCE IS CHEAPER WHEN YOU ARE YOUNGER
However, if you do have dependents or you have co-signed a loan with your parents (or any other member of your family or friend), whether it be a student loan or a home loan, you need to consider buying a life insurance policy.
You have to decide how much insurance you need considering different resources you might possess. Regardless of whether you're single, there might be different wards and you need to guarantee they're dealt with. "The prior the better. Single individuals offer monetary help for maturing guardians or a kin with uncommon requirements. Insurability is one more motivation to consider life insurance when you're single. In case you're young, healthy and have a decent family wellbeing history, your insurability is at its pinnacle, and you can get the best rates on your life coverage strategy."
Since it is an instrument that keeps you contributed as long as possible, it would assist you with accomplishing your drawn out objectives like purchasing a home or arranging your retirement. It additionally provides you with diverse investment options that come along with different types of insurance policies.
Some insurance policies are tied to certain investment products that pay dividends based on their performance. If you are opting for an investment-linked insurance policy, be sure to read the fine print to be fully aware of the potential risks and returns.
4. LIFE INSURANCE FULFILLS YOUR RETIREMENT GOALS:
Who wouldn't care for their retirement investment funds to go on until they do? With a life insurance plan, you can guarantee you have a standard stream of income each month. Placing cash in an annuity resembles a benefits plan-put in some cash consistently in a life insurance cover and enjoy a consistent income each month even after retirement.
5. BUYING INSURANCE IS CHEAPER WHEN YOU ARE YOUNGER
However, if you do have dependents or you have co-signed a loan with your parents (or any other member of your family or friend), whether it be a student loan or a home loan, you need to consider buying a life insurance policy.
You have to decide how much insurance you need considering different resources you might possess. Regardless of whether you're single, there might be different wards and you need to guarantee they're dealt with. "The prior the better. Single individuals offer monetary help for maturing guardians or a kin with uncommon requirements. Insurability is one more motivation to consider life insurance when you're single. In case you're young, healthy and have a decent family wellbeing history, your insurability is at its pinnacle, and you can get the best rates on your life coverage strategy."
6. YOUR BUSINESS IS ALSO TAKEN CARE OF:
Seafarer won't wish to sail for whole life and would always wish to start some business with his hard earned money. Life insurance isn't only for yourself and your family. Some insurance policies also take care of your business. There are two types of life insurance policies-a term insurance policy and a life insurance policy.
A term insurance provides protection for a specified period of time (10, 20 or 30 years) and pays out the benefits only if you die during the term. The policy will expire and coverage will end if you outlive your policy. An investment-cum-protection plan on the other hand offers you a lump sum amount on the completion of the term of the policy. These plans also offer you protection but the cover is usually not as high as offered with term plans.
7. TAX-SAVING :
Seafarer's income is tax free but he has to pay taxes on the money earned by other sources. You could save taxes with insurance policies irrespective of what plan you buy. The premium you pay on an insurance policy is eligible for a maximum tax benefit of Rs 1.5 lakh under Section 80C, and for tax-free proceeds on death/maturity under Section 10 (D) of the Income Tax Act, 1961.
Seafarer won't wish to sail for whole life and would always wish to start some business with his hard earned money. Life insurance isn't only for yourself and your family. Some insurance policies also take care of your business. There are two types of life insurance policies-a term insurance policy and a life insurance policy.
A term insurance provides protection for a specified period of time (10, 20 or 30 years) and pays out the benefits only if you die during the term. The policy will expire and coverage will end if you outlive your policy. An investment-cum-protection plan on the other hand offers you a lump sum amount on the completion of the term of the policy. These plans also offer you protection but the cover is usually not as high as offered with term plans.
7. TAX-SAVING :
Seafarer's income is tax free but he has to pay taxes on the money earned by other sources. You could save taxes with insurance policies irrespective of what plan you buy. The premium you pay on an insurance policy is eligible for a maximum tax benefit of Rs 1.5 lakh under Section 80C, and for tax-free proceeds on death/maturity under Section 10 (D) of the Income Tax Act, 1961.
8. A TOOL FOR FORCED SAVINGS:
If you choose a conventional or unit-liked policy, you pay a premium each month, which is higher than what it costs to insure you. This bit of extra money is invested and it accrues cash value. This cash can then be borrowed against the policy or you can choose to sell it or draw income from it.
9. YOU MAY NOT BE QUALIFIED FOR IT LATER:
Seafarer is reluctant to buy life insurance policy when he is healthy. Life insurance policies run on uncertainties. You may be healthy now and paying a premium for life insurance may seem to be an added financial burden, but if you suddenly fall ill, you may not be allowed to but a life insurance policy. Therefore, it is imperative to buy one early on in your life because it remains in force if your health deteriorates later on.
10. PEACE OF MIND:
Death is unavoidable. In the face of tragedy, the least you can do for your family is to secure their financial future. Even if it is a small policy, you know that you've done all you can to help them tide over difficult times.
"Life insurance is a great tool for both protection as well as to save in a disciplined manner, which leads to creation of a good corpus. The need for life insurance changes at different stages of your lifecycle depending on the financial obligations and dependencies."
If you choose a conventional or unit-liked policy, you pay a premium each month, which is higher than what it costs to insure you. This bit of extra money is invested and it accrues cash value. This cash can then be borrowed against the policy or you can choose to sell it or draw income from it.
9. YOU MAY NOT BE QUALIFIED FOR IT LATER:
Seafarer is reluctant to buy life insurance policy when he is healthy. Life insurance policies run on uncertainties. You may be healthy now and paying a premium for life insurance may seem to be an added financial burden, but if you suddenly fall ill, you may not be allowed to but a life insurance policy. Therefore, it is imperative to buy one early on in your life because it remains in force if your health deteriorates later on.
10. PEACE OF MIND:
Death is unavoidable. In the face of tragedy, the least you can do for your family is to secure their financial future. Even if it is a small policy, you know that you've done all you can to help them tide over difficult times.
"Life insurance is a great tool for both protection as well as to save in a disciplined manner, which leads to creation of a good corpus. The need for life insurance changes at different stages of your lifecycle depending on the financial obligations and dependencies."