If the insurance is an investment, why not FD (fixed deposit) instead of life insurance.

Because FD does not cover your risks as Insurance plans do although returns are lesser than FD.

If the insurance is an investment, why not FD (fixed deposit) instead of life insurance.

Because FD does not cover your risks as Insurance plans do although returns are lesser than FD.

Exactly one don't get risk cover in FDs.
:)

If the insurance is an investment, why not FD (fixed deposit) instead of life insurance.

Because FD does not cover your risks as Insurance plans do although returns are lesser than FD.

It is right that return on insurance are lesser than FD, but we will not get rebate in Income tax on FD. Second thing it is easy to cash FD that insurance policy

If the insurance is an investment, why not FD (fixed deposit) instead of life insurance.

I agree. Itis not wise to over-insure. Take only low cost insurance policy. There is one- term insurance- that covers risk and the policy amount is payable oly on death and not otherwise. The low premium will enable you to invest the remaining available funds in better investment schemes- in terms of liquidity and return.

If the insurance is an investment, why not FD (fixed deposit) instead of life insurance.

I agree. Itis not wise to over-insure. Take only low cost insurance policy. There is one- term insurance- that covers risk and the policy amount is payable oly on death and not otherwise. The low premium will enable you to invest the remaining available funds in better investment schemes- in terms of liquidity and return.

Tax saving is main reason for buying insurance policy.

Most of the life insurance agents say that insurance and FD is totally different things. Insurance for kids are generally for twenty years and until kids get in college their insurance get matured and assist them with a good amount. Beside kids also get life coverage. This is really confusing, whether to go for an insurance or not?

Most of the life insurance agents say that insurance and FD is totally different things. Insurance for kids are generally for twenty years and until kids get in college their insurance get matured and assist them with a good amount. Beside kids also get life coverage. This is really confusing, whether to go for an insurance or not?

Insurance companies and their agents will say anything to increase their business. But as a customer, you should not over insure. A child needs protection in the event of death of parents and so parents are to be insured and not the child. Then also, insurance covcer should not be excessive. Best cover is term insurance that means that the beneficiary will get the insured amount only on death of the insured person and not otherwise. In such policy, premium is lowest and cover highest. So it is possible to invest more in equity shares, company and bank FD. for short terms.

Most of the life insurance agents say that insurance and FD is totally different things. Insurance for kids are generally for twenty years and until kids get in college their insurance get matured and assist them with a good amount. Beside kids also get life coverage. This is really confusing, whether to go for an insurance or not?

Insurance companies and their agents will say anything to increase their business. But as a customer, you should not over insure. A child needs protection in the event of death of parents and so parents are to be insured and not the child. Then also, insurance covcer should not be excessive. Best cover is term insurance that means that the beneficiary will get the insured amount only on death of the insured person and not otherwise. In such policy, premium is lowest and cover highest. So it is possible to invest more in equity shares, company and bank FD. for short terms.

Maybe you could write an article on this topic in easy language, the truth is there are so many confusing claims by different insurance companies that it is very tough to decide on what option to go for!

Most of the life insurance agents say that insurance and FD is totally different things. Insurance for kids are generally for twenty years and until kids get in college their insurance get matured and assist them with a good amount. Beside kids also get life coverage. This is really confusing, whether to go for an insurance or not?

Insurance companies and their agents will say anything to increase their business. But as a customer, you should not over insure. A child needs protection in the event of death of parents and so parents are to be insured and not the child. Then also, insurance covcer should not be excessive. Best cover is term insurance that means that the beneficiary will get the insured amount only on death of the insured person and not otherwise. In such policy, premium is lowest and cover highest. So it is possible to invest more in equity shares, company and bank FD. for short terms.

Maybe you could write an article on this topic in easy language, the truth is there are so many confusing claims by different insurance companies that it is very tough to decide on what option to go for!

I welcome your suggestion. However, I have written some articles on theme of investment. Here I may add that our income is limited. so investment/ expenses also should be priority based. Current expenses on food, shelter, education and medicine are obviously of highest priority. Savings if any should be in order of (1) Health insurance policy- medi claim in view of high medical expenses (2) Accident insurance with a non life insurance company (3) provident fund, bank deposit, equity shares. Life insurance requirement should be assessed on basis of family needs in event of death. If wife is also employed or will get compassionate employment in case of her husband's death or vice versa, there is group insurance scheme for employees, gratuity, family pension etc; the need for life insurance will decrease to that extent. In fact, there may be no need for life insurance. Even if necessary, over insurance should be avoided and only term insurance (pure insurance) should be chosen. It is worth mention that no agent or company ever canvas term insurance scheme.

Child insurance is good saving for child's future.