Life insurance is a vital component of your financial portfolio. It is also a valuable means by which you can keep yourself and your loved ones protected.
In recent years, more and more people have realised the importance of ensuring financial security for themselves and their dependents. This has contributed to the rise of the life insurance segment in Oman. As per this news report, the year 2016 saw Oman’s life insurance segment grow by a staggering 213.3%, which was the fastest growth rate amongst all businesses in the country.
Uncertainties of life can take a physical and financial toll on you and your loved ones. Life insurance provides a guaranteed safety net against future financial upheaval.
What is life insurance?
At its simplest, life insurance is a contract that you make with an insurance firm where the firm is committed to paying a death benefit to your beneficiaries upon your unfortunate demise. However, newer life insurance policies have been modified to provide a maturity benefit to the policyholder, or periodic payouts before maturity of the policy term.
The benefits of the life insurance are paid as consideration on the yearly premiums that you pay as a policyholder.
How does life insurance benefit you?
The basic purpose of buying a term life insurance policy is to provide financial coverage to your surviving dependent family members in case of your unfortunate demise. It helps protect you and your family members from future financial uncertainty in case of an abrupt stoppage of income.
When buying life insurance in Oman –
* Analyse your current financial situation. Now assess your financial outlook for the next 10 years. If you feel that your current income, savings and investment are not enough for the future needs of your family, you must buy life insurance.
* There are several kinds of life insurance policies that you can choose from. The most popular types are term, whole life, endowment and money back policies.
* The type of life insurance policy you buy depends on whether you have accounted for major financial milestones like buying a house, buying a car, children’s education, children’s wedding, your retirement, etc.
* Evaluate your insurance needs annually and modify the plan wherever needed. For instance, you might wish to increase the premium payment for a higher sum insured. Or, you may wish to include an accidental death benefit rider in the plan.
Thus, buying a good life insurance plan provides peace of mind at the present time. Instead of being in a constant state of worry, you can rest assured that your life insurance policy will safeguard you and your family against future financial uncertainties.
No comments:
Post a Comment