Best Insurance Agent in Chandigarh Contact Mr. Vivek Mehta At: =91 97790 08561

1. WHY DO WE NEED AN INSURANCE
Mr. Mehta was very happy with his job, his family and life in general. He was very
particular with his finances. His 8 year old daughter and 9 year old son were doing
well in one of the best schools in India and his wife had the financial comfort she
wanted. However, Mr. Mehta will concur that one can never tell when fate will
tarnish a pretty picture. He suddenly suffered a heart attack, with a few
complications, and was admitted to the hospital. Three weeks in the ICU and an
angiography and angioplasty struck him with a serious financial blow. His modest
medical insurance covered some of his expenses but he had to dip into his savings
for the rest. He thought his current financial plan was solid, but he was wrong.
What if the next time his medical expenses are even higher? What about the
money he has to keep aside for his daughter’s wedding, or his son’s higher
studies? What if he doesn’t pull through the next time? Who will take care of his
family and support them financially? Another disaster like this will destroy his long
term savings plans.

2. WHY DO WE NEED AN INSURANCE
That was it! He had to re-assess his financial structure. Statistics showed him that
if he saved a little money every month in a life insurance policy he would be in an
even better position to deal with any unforeseen setbacks in the future. His family
will have financial security if he isn’t lucky enough to survive the next time.
He also decided to take into consideration the expenses for his children’s higher
studies and marriage. Mr. Mehta was thinking very clearly in the long term now.
Although we don’t want to think of these situations, preparing for them with the
right financial planning will only help our long term goals. Mr. Mehta realized this
the hard way. Luckily, we have the chance to learn from his mistake and better
prepare ourselves from now for an uncertain future.

3. TYPES OF INSURANCE
Term Insurance
This type of policy is a contract between the insured and the life insurance company to
pay the persons s/he has given entitlement to receive the money, in the case of his/her
death, after a certain period of time. The policies can be taken for 5, 10, 15, 20 or 30
years.
Endowment
In an endowment policy, periodic premiums are received by the insured person and a
lump sum is received either on the death of the insured or once the policy period
expires.

4. TYPES OF INSURANCE
Money Back
This policy offers the payment of partial survival benefits (money back), as is determined
in the insurance contract, while the insured is still alive. In case the insured dies during
the period of the policy, the beneficiary gets the full sum insured without the deduction
of the money back amount given so far.
Group Life Insurance
This is when a group of people have been named under a single Life insurance policy. It is
popular for an employer or a company to add employees under the same policy. Each
member of the group has a certificate as legal evidence of insurance.

5. TYPES OF INSURANCE
Unit Linked Insurance
ULIPs (Unit Linked Insurance Plan) offer the insured the double benefit of protection
from risk and investment opportunities. ULIPs are linked to the market where the
insured’s money is invested to help earn additional monetary benefits.

6. HOW MUCH INSURANCE DO YOU NEED
So how much insurance does Mr. Mehta really need when he is taking a life insurance
policy? How much money should he put aside now to receive the right benefit for his
children’s higher studies? How much should he save now to receive the right benefit for
his daughter’s marriage? How much does he want his family to get as a benefit in case of
his untimely demise?

7. HOW MUCH INSURANCE DO YOU NEED
He has to consider his priorities. He has to take into account his standard of living, his
income, his spending habits, inflation etc. before he arrives at the benefit he wishes his
family to receive at the time of his death. This policy should also have a critical illness
and disability rider to help in case of his hospitalization and medical expenses. Amazing,
how everything was in such clear view to Mr. Mehta. Usually, wisdom’s advice is that the
death benefit from a life insurance policy should be approximately 8 to 10 times the
annual income of the insured. It is wise to include foreseen liabilities and add an inflation
rate into the amount to get a more accurate figure.

8. HOW MUCH INSURANCE DO YOU NEED
He also has to decide how much he expects to receive for his children’s higher education.
He has to factor in what his children’s career inclinations are, what type of college he
wants his children to attend, whether he wants his children to study in India or abroad,
etc. In addition, he has to decide what he will have to spend on his daughter’s marriage.
No one can ever get exact figures, but it is important to draw a fair sketch of your future
financial goals and save according to them. You may not get it absolutely right, but long
term planning, as Mr. Mehta realized, definitely keep you prepared. Mr. Mehta knows
that one rupee saved now is worth many more in the future.

9. HOW MUCH INSURANCE DO YOU NEED
Fortunately, Mr. Mehta had trained professionals to help him beat out all his
considerations and invest in life insurance to suit his future needs and wants. So Mr.
Mehta has now prepared himself much better for an unforeseen future. It will definitely
suit our purpose to do the same.
To know how much insurance you need, call Mr.
Vivek Mehta
Now at: +91 97790 08561.