Bangalore: Myths are not facts but only rumors, so think twice before believing in them. Now don’t be scared after reading the first line, as we are here to help you trace the truth and know the actualities about insurance. Below we have discussed about the misconceptions you might have regarding life insurance. You must immediately clear your mind from all such myths and then choose the right life insurance policy for you, with the right coverage amount, says Investopedia.com.

Myth # 1: I'm Single and Don't Have Dependents, so I Don't Need Coverage

Why do we buy a life insurance policy? It provides a financial coverage to our dependents (spouse or children) in the event of our death. But if you are single, buying an insurance policy will still be useful for you. As once your policy matures and pays you back the sum assured, you can use this amount during your retirement days besides enjoying the tax benefit. Don’t forget, if you die uninsured, you may leave a legacy of unpaid expenses or debt for your parents or siblings to deal with. Plus, this can be a good way for bighearted singles to donate to a favorite charity or other cause.

Myth # 2: My Term Life Insurance Coverage at Work Is Sufficient

May be or may not be. Well, for a single person who earns an average income, having employer - paid or provided term coverage may actually be enough. But if you have a life partner or other dependents (kids or aged parents), or know that you will require coverage upon your death to repay personal loans, and then it is advisable to buy additional coverage if the term policy does not meet all your needs.

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