The most satisfying feeling for a person is to know that they are doing their best to keep their loved ones happy and secure at all times. But since life is beset with challenges, only someone who is prepared for both the best and the worst can experience this feeling.
For your family, you are their ‘Superhero.’ That is why, when it concerns their safety or realization of goals, they look up to you. And truth be told, you wouldn’t want to let them down as well. Along these lines, what you need is an investment plan that can assure you on more than one front.
One such option for you is the Unit Linked Insurance Plan (ULIP). Yes, it is a two-in-one instrument that offers you both insurance cover and investment benefits. A ULIP plan, unlike a pure insurance plan, is also linked to market instruments like equity. That is why, along with giving protection to your loved ones, it simultaneously helps you in wealth creation.
However, that’s not all. There’s more to this plan that makes it such a preferred investment option among investors. So, let’s understand all the benefits that ULIP can extend on your family and you.
It Keeps Your Family Secure
Just like a life insurance cover does, ULIP investment promises to keep your family financially secure in your absence. This means that after your demise, your family will receive a death benefit that will help them maintain financial stability after the loss of their prime breadwinner.
Thus, the sum of money provided prevents your loved ones from facing a financial crisis after an untoward happening.
Helps You Realize Important Life Goals
From financing your child’s studies abroad to going on a luxurious family vacation, you have dreams that you want to turn into reality. For all these and more, what you need is the availability of large funds.
ULIPs help you in creating wealth by investing a part of the premium you pay, in equity, debt, or balanced funds. Putting your money in this investment plan for five years or more can thus, enable you to earn huge returns on the amount invested.
Over the years, it helps you create a corpus systematically. Therefore, with a confirmed maturity benefit, you can be sure that the accumulated funds will make it relatively easier for you to realize your many goals.
Maximizes Your Savings
Another benefit of ULIP is that it is a tax-free plan. Firstly, the premium payable towards this can be claimed as a deduction from your taxable income. Also, whatever returns that you earn on invested funds, or even whatever you withdraw is exempt from tax.
This benefit safeguards your family from the tax devil that eats into your hard-earned income. A direct result of this is that it helps your family maximize savings, which can be put to better use.
Helps to Maximize Returns
ULIP offers flexibility to all policyholders to invest their money in market instruments that they prefer. So, depending on your risk appetite and financial goals, you can either invest in equity, debt, or balanced funds. Reputable insurers like Max Life Insurance offer six different fund options to choose from, which means you can invest in the most profitable option of your choice. Further, they even allow 12 free fund switches in a year, which means that you can stay on top of market changes, to maximize your returns.
Moreover, ULIPs also offer a top-up option, that allows you to increase your investment amount over and above the policy amount if the funds are giving good returns. All this ensures that you enjoy full flexibility to create a pool of wealth for yourself.
Helps You Meet with Sudden Financial Needs
An excellent investment plan for 5 years and more, ULIP also offers the option of partial withdrawal. This means that after your lock-in period is over, you can partially withdraw your invested money to meet with an immediate family need. This ensures that your family can bank upon ULIP for any sudden contingency that may arise. Usually, about two partial withdrawals are allowed in a year.
Seal Your Happiness And Security With A Single Plan
Now you know all the benefits that a single integrated plan such as ULIP offers. So, if you are looking for long-term savings, then there’s no other plan like ULIP that you will find. Offering twin benefits, this investment plan for 5 years can help you achieve all your financial goals quite easily, along with keeping your family protected financially.
So, think no more and buy a ULIP plan today. We’re sure you’ll be glad you made this decision, a few years down the line!