Why You Don't Need a Life Insurance?


Bangalore: If you have dependents on you and your income, then ‘uncertain death’ of yours is a very unpleasant situation you must consider whether you like it or not. You don’t want your family to suffer financially when you are not around; in such situation, ‘Life Insurance’ is a solution for you. It is a means to provide financial security for your family after you die. The named beneficiary receives the amount of your insurance and is thus safeguarded from all the ill financial impacts.

But buying life insurance doesn’t make sense for everyone. If you don’t have dependents and also have enough assets to cover your debts, then life insurance is an unnecessary burden for you. NDTV Profit has come up with five such situations under which you can avoid a life insurance.

1. Saving Tax

If you want to buy a policy just to save tax then it’s a strict ‘NO’ for you. Life Insurance is a policy or a good investment which preserves your money safe. Though life insurance also offers tax benefits, but experts recommend not to opt for life insurance if you want the tax benefits. You can rather invest your money in Provident Fund and National Savings Certificate etc. These plans will help you to lock your money for a long term and will yield you good returns.

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