Money Back Policy Is The Ideal Investment Option

There is no person in the world who does not wish to see their money growing over a period of time. However, your desires are not different from this. Investments play a major role in financial planning that help in maximising your wealth. You, as an individual, may have many financial dreams which you want to fulfill and hence one of the smartest ways is to invest your money in various investment plans which can help your money to grow and allow you to fulfill your future dreams.

Insurance is also essential along with investment. Hence, it is always suggested to buy one insurance plan for a longer term so that your family will not need to go through any financial trauma or obstacles in case you are not around in future.

Money Back Plan can help you achieve the both worlds i.e. Investment plans and Insurance plans. Money Back Plans provide you with dual benefits of coverage as well as savings products. It not only provides you with coverage facility but also pays you a regular source of income at regular intervals to fulfill your living expenses and all necessary needs. Money Back Plans also offer rider or add-on plans which adds an extra layer of protection and coverage. 

Reasons to Buy Money Back Plans

There are various reasons why a money back plan is a perfect plan for an Investment cum Insurance option. Some of the reasons are mentioned below:

• Liquidity

  This plan provides you the feature of liquidity so that you can receive a regular sum of money. This allows you to take care of the financial needs, for the present and for the future.

• Risk-Free Returns

  Investing in plans such as ULIPs is a little bit risky in nature which involves investing your money in various market plans such as equity and stocks. If you don’t want such risks, then buying a Money Back Plan will be best for you because there is no risk in nature of this plan.  

• Survival Benefits

   Under the Money Back Plan, you will receive a part of your sum assured on a regular basis. If you are alive till maturity you would be applicable to receive the maturity benefits along with the additional bonuses if any. 

• Insurance Coverage

  If in case something unfortunate happens to you, then the nominee of the policy will receive the sum assured regardless of the surviving benefits you have been receiving periodically. A money back plan not only allows you to grow your money and pays as regular income to take care of your needs as well as secure your family finances in your absence. 

• Bonus

  An insurance company provides you with a bonus as a reward or profit distribution to you if in case it makes a profit. It is always suggested to purchase a Money Back Plan from a well reputed insurance company.

• Tax Benefits

   Along with other benefits such as the death benefit,  maturity benefits you are also eligible to receive tax benefits under Section 80C and Section 10(10D) as per the prevailing income tax laws. 

Conclusion

If you are looking for a tool which can provide insurance cover and  also helps you in creating an investment corpus, then it is highly recommended that you should buy a Money Back Plan for yourself. There are several investment products such as endowment plans, ULIPs, etc which not only provide you with life cover but also allow you to maximise your savings. ULIPs contain a certain degree of risk since they invest your money in various market tools. A Money Back Plan is the smartest way to save as well as for investment. 

Also Read: How The Money Back Policy Works?

Key Advantages of Money Back Policy

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.