Do you Look for a Guarantee in Everything? This Savings Plan Might be the Right One for you!

By John, Content Writer  |  Monday, 20 February 2023, 06:15:46 PM IST

Do you Look for a Guarantee in Everything? This Savings Plan Might be the Right One for you!

It is natural to check the padlock twice before leaving your home to guarantee safety. So, why not double check on your financial planning for guaranteed benefits. Savings insurance plans can help you guarantee your family’s future goals effortlessly. These saving plans offer financial safety, liquidity and long-term wealth building for you. The best part is you can invest small sums from your income regularly without burning a hole in your pocket.

Here’s more about investing in saving plans and how they benefit you.

Why Invest in a Guaranteed Savings Plan?

Guaranteed benefits are one of the most attractive reasons to invest in a savings insurance plan. Here are a few more reasons to buy this plan:

  1. Enhanced Financial Protection for Family

Investing in this plan enhances your financial safety umbrella for your family. This life cover provides additional cash to your family in the unfortunate event of your early demise. It is especially important when you are saving for an important goal. For example, your child’s higher education abroad or for their wedding.

  1. Guaranteed Bonuses

The policy offers guaranteed bonus additions if you invest for a long period, at least 10 years. The bonus additions increase with the investment period. Starting early and investing a higher amount every year also helps you secure higher bonus additions.

  1. Guaranteed Income Option

The plan may also have the option to get a guaranteed annual income once your premium payment term is over. You can plan the investments in such a way that you can use the cash flows to look after your regular financial needs.

For example, in the case of higher education, you can pay off the annual tuition fees with the returns that you get. You can also plan the investments to support your post-retirement life.The guarantee also allows you to plan well and focus on other important goals once you have started saving for one.

  1. Supports Your Emergency Backup Plan

Saving plans like iSelect Guaranteed Future by Canara HSBC Life Insuranceacquires a growing cash value with time. The loan from the policy is usually a low-cost loan with easy repayment options.So, you can use the plan even when the pay outs have not begun or before the plan has matured.

  1. Lower your Tax Liabilities

Most of the saving plans offer multiple tax benefits. For instance, the annual premium invested in the plan is eligible for deduction under section 80C up to Rs 1.5 lakhs.Any accrued bonuses, partial withdrawals, pay-outs, and maturity proceeds are tax-free if your annual premium had been up to 10% of the life cover in the plan.

  1. Enhance Security Umbrella with Riders

Adding riders like accidental disability, premium protection, critical illness, etc. allows you to enhance your financial safety umbrella. Such conditions can harm your cash flows and in turn your savings. Adding these riders helps you provide for the goal despite the hardships.

iSelect Guaranteed Futureby Canara HSBC Life Insurance

iSelect Guaranteed Future Plan is a non-participating life insurance savings plan from Canara HSBC Life Insurance. This plan combines the features of traditional guaranteed insurance plans and the modern financial needs of young investors.

The plan not only offers a guaranteed maturity but also retirement safety if you choose the option. The policy benefits are defined based on the number of years. For example, you can invest for 5 to 10 years with a policy term ranging between 10 to 15 years. The policy benefits including the guaranteed additions, the cash flows and others are also governed by the same timelines and other factors.

So, if you seek guarantee of safety while leaving your home, applying the same caution can ensure guaranteed benefits from your savings plan. You can align your investments correctly and your plan can support you financially at just about the right time in your life. So, you can enjoy a level of guarantee in this life full of uncertainties.

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