Most of us do not feel comfortable talking about death. Nothing can be more unpleasant than thinking of the death of a loved one. That’s why most people are reluctant to learn about life insurance or to talk to an insurance agent.
In our society, there are various misconceptions about life insurance that have not been broken today or are not addressed to us in the right way. A life insurance can completely change our life but we are still far away from hearing the word ‘life insurance’ or even ‘insurance’.
Let’s look at the 7 most common misconceptions we have about life insurance:
1. Life insurance means that only death can be paid for insurance
When we think of life insurance, most of the time, it is thought that the death of the insured will be paid only on the death of the insured. But that is not always the case. In addition to buying a reserve insurance in our country, many other associate insurance (rider) can be taken away which offers various benefits during the insurance period. It could be medical, The cost may be paralysis or the cost of a complex disorder. There are also various types of education insurance or child protection insurance to ensure financial support during the child’s education. Besides, there are various stage schemes which the insurance company pays to the customer for a period of time during the insurance period, so that a customer can implement various insurance plans. So insurance is not only a matter of life insurance, which is paid by the insured on death, but also during the insurance period, a customer can get a variety of attractive benefits that will meet his or her financial needs or help in implementing future plans.
2. I am very young, I do not need life insurance
There is no age limit for taking out a life insurance policy. However, according to different companies and policy types, there is a maximum age limit for which one cannot buy the policy if he is older. Generally, more than 5 percent of working age people of 25-5 years suffer unanticipated economic catastrophe due to premature death or physical disability. In this case a life insurance could provide financial security and mental peace for those families. You can also save a great deal of money on insurance premiums at a young age. And the less you can insure, the real money is good, because when you are younger, the same amount of insurance comes with a much lower premium than a person who is younger than an older person.
3. I was not married, what will I do with life insurance?
Tragic events can happen in anyone’s life, whether they are single or married or childless. Anyone can benefit from life insurance. Even unmarried people can retire by leaving large amounts of debt unpaid, which can be repaid with their family insurance claim money.
4. I have no physical problems, I don’t need life insurance
You may be healthy, but that can be no excuse for not having life insurance. In this regard, many would agree that in the event of illness, we may think of death more often than usual. That’s why we feel the need for insurance is even higher. And it is really important to insure when healthy and to take advantage of it when ill. Because no company will insure a sick person. So the best time to insure is in a healthy state.
5. My office has group insurance, no insurance required
Generally, the insurance provided by the company has two to three times more annual death penalty, which in most cases is not enough. Moreover, group insurance is a type of term insurance with no opportunity for savings. The individual needs of each individual are different and there are many differences in financial affordability. As a result, group insurance, which is taken into consideration by all employees, is naturally unable to meet the individual needs of each individual. For this reason, other savings insurance or term life insurance (the only term life in Bangladesh – EasyLife) may be the most suitable solution.
6. All insurance companies are fraudulent
This is another common practice in our society. Mainly responsible for this are some unscrupulous insurance companies and a bunch of executives who are also doing good insurance companies. But there are also many good insurance companies in the market. You can easily collect and verify the information of any insurance company. There are many good companies in our domestic insurance companies as well. You can also get an idea of the right insurance companies by looking at insurance companies’ own websites, insurance development and regulation authority websites, newsletters and financial statements of companies. Guardian Life Insurance Limited, founded by three reputed companies like Apex, BRAC and Square, is an internationally recognized insurance company in Bangladesh. You can also insure your choice from here.
7. Life insurance is expensive (expensive)
This is one of the misconceptions about insurance. Many of us think life insurance is too expensive to pay for pledged protection. This perception is more prevalent among young people. But in the real sense life insurance is a very customizable service with cost control completely in your hands. You can get insurance at as much cost as you want, and you can get very valuable insurance at very small cost. Usually the cost is a little higher if you take out savings insurance at an early age. But you can also insure at a relatively low cost and you can buy high value low cost insurance at a much lower cost as well. Term life insurance policies are now available at the lowest cost in the market. For example, you can get a minimum coverage of Tk 1 lakh per year in EasyLife at Rs. You can buy any type of insurance at a cost or at a lower price to suit your needs.
The misconception was, will remain. A hundred years old will not break these misconceptions in five to ten days. At the end of the day, my life is yours. In our absence, it is our responsibility to ensure the financial security of our loved ones. Let’s change our misconceptions and protect our family financially.