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Top 8 Life Insurance Myths

Life Insurance is an investment that provides financial security to you and your family members. Purchasing of policy does not solely depend upon whether you are single or married.

So, here are some popular misconceptions about life insurance

It's better to invest money rather than to buy a life insurance

It is a common perception that it is better to invest money in other instruments rather than to purchase life insurance. It is a myth to be debunked. If you have a family and children, it's better to have life insurance coverage. If you die without having life insurance in your bucket there will be none to protect your benefactors or defendants.

A single person don't need coverage

It is the greatest mind barrier that needs to be overcome. Regardless, of your marital status, you need a life insurance. Moreover, the life insurance companies proffer a host of tailor made insurance product at your doorstep.

Why a single individual needs to have a policy in place

A single individual needs to have a policy to cover the funeral cost or to pay off any personal debt or medical bills. Remaining uninsured can leave you in a legacy of debt and expenses to deal with.

Insurance company will never know if you state wrong information

Some people think that life insurance companies comprises of dumb persons, who can be fooled easily. If you are trying to pull the wool over insurance company's eyes, beware. Don't think that you'll ever be able to do that. Insurance company has sole right to investigate your death, and if they find there is any misappropriation in the policy they may straightway reject the claim.

Cheap Insurance Company- The Best Insurance Company

Over 50 life insurance is not always the solution to a problem. Most people look for an over 50 life insurancepolicy thinking that they will receive an added advantage of saving in cost. Before purchasing such type of policy, check out whether, it serves your purpose or not. If it does not serve your purpose, don't try to be a part of a rat race, apply your own common sense.

The Insurance Company will never know that you smoke

Life insurance companies have a full right to take blood sample test, and if they find any trace of tobacco, they have sole right to reject your claim. So, don't misappropriate the facts, if you smoke or drink alcohol, you should tell your insurance company.

Shopping from the first shop

It is important to compare life insurance policies because this analysis will assist you in choosing right kind of policy. In present times, it's not difficult to compare life insurance policies because markets are decked with life insurance options.

Buy term insurance and invest the rest

Although term insurance is the best insurance option, but along with that if you purchase critical illness insurance, it can provide you added benefit of tax free Lumpsum amount in the event of stroke, heart attack, brain meningitis, etc.

You don't have to review the policy once you purchase it

Many people think that once they have obtained the policy they don't need to review them. Here, you need to clear off the air; if you have a term insurance policy, you need to review it, as it will expire after a stipulated time frame; hence it is important to determine vitality of policy.