How Term Insurance Helps You in Retirement Planning?

By siliconindia  |  Thursday, 19 March 2020, 09:21:08 AM IST

How Term Insurance Helps You in Retirement Planning?

When you are at the peak of your career and earning a good income, it is time that you focus on planning your retirement. It is important that you are aware of your net worth and how comfortably you wish to spend your retirement years. You must consider investments that will help you stay financially stable in your retired years. Investing in the right insurance plan is a great way to plan for your retirement. There are plenty of retirement plans offered by insurance companies that you should consider in such circumstances.

How Investing in Term Life Insurance Plans Helps?

Irrespective of your job profile, it is important that your financial plan includes well-structured life insurance. In fact, both working and non-working spouses must have a life insurance policy to protect their future. For working individuals, they must take insurance cover big enough to cover their future obligations or debts so that there is no financial burden on the family. For a non-working source, the insurance policy should be adequate to cover the childcare cost and other obligations related to the house.

When it comes to exploring different types of lifeinsurance policies, the term life insurance policy is the most reasonable while offering extensive coverage. It is also known as pure life insurance that provides insured payment covering the stated death benefit during a particular term. Once the term expires, the insurer can renew the policy, terminate the policy, or convert it to permanent coverage.

Retirement Planning with Aegon Life’s iTermplan

Aegon Life Insurance offers customers with an effective plan that centers on helping them with their retirement plans. The minimum age limit to avail this plan is 18 years, and the maturity age is 100 years. The Dual Protect feature by the company provides protection to an individual for up to 100 years. Additionally, post-retirements, the policyholders are also eligible for the following benefits -

  • They get 5% of the initial sum insured as a lump-sum benefit. This made is extended on the subsequent policy anniversary that comes after the insured turns 60 years.
  • 0.1% of the primary insured sum will be paid monthly in arrears. The payment continues to come until the date of maturity, diagnosis of terminal illness, or death (whichever comes first).

How the iTermplan Differ from Other Protection Plans?

A majority of life protect plans only provide coverage if the policyholder is suffering from a terminal illness. However, dual protect,the plan is a comprehensive protection plan that helps you make your retirement comfortable. Once you have reached 60 years of age, the plan would offer you monthly income benefits until the maturity period.

On the whole, the iTerm Protection plan provides financial security to you and your family in case something unfortunate occurs. Moreover, after retirement, you will be getting a monthly income so that there is no financial strain on your family. By providing financial coverage for 100 years, it is evidently a great plan to include in your retirement planning.

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