A savings plan is a unique financial instrument that lets you save money for future needs in a systematic manner while also providing you with life insurance coverage. It also helps you grow your money with stable returns making it a low-risk investment option. A savings plan offers death benefit to the nominee in case of an unfortunate event during the policy term.
Why invest in a Savings Plan
Below are a few reasons why you should consider investing in a savings plan:
A savings plan allows you to save a fixed amount of money regularly without putting too much burden on your finances. This enables you to build a savings pool consistently and prepare for future financial needs
Savings plans often offer stable returns that can help you increase your savings over time. They help you tackle inflation, plan for financial goals and live a financially secure life. Savings plans are typically designed for long-term savings goals, such as retirement, education, or buying a house Savings plans have an in-built insurance component that can protect the financial interests of your family in your absence Savings plans offer tax1 benefits under various sections of The Income Tax Act, 1961, that help you save more money Savings plans can help you build assured savings as they generally carry low risk.