Endowment Plans

Below mentioned are the different types of endowment plans:

• Unit Linked Endowment Plans: Unit-linked endowments plans incorporate life insurance and are a sort of fixed-term savings plan.The premium paid to the plan is invested in various market-linked investment alternatives chosen by the life assured under this plan.This type of endowment plan is ideal for people who have a high-risk appetite. The return of investment under such plans depends on the performance of investment options in the market.
  

• Full Profit Endowment Plans: Under full profit endowment plans, the life assured receives the basic sum assured. The overall payout, however, varies depending on the bonuses recorded on the endowment policy at the conclusion of each year.The bonus is provided at the time of plan maturity or at the end of policy term.
  

• Low-Cost Endowment Plans: Low-cost endowment plans help the life assured to accumulate funds which can be paid after a certain time period, usually for the repayment of mortgage.

• Non-profit Endowment Plans: Under non-profit endowment plans a maturity benefit is provided to the life assured in case he/she survives the entire policy tenure. In case the life assured passes away anytime during the policy tenure a death benefit is provided to the nominee.

Features Of An Endowment Plans

Following are some of the key features of an endowment plans-

• Death and Survival Benefits: In the event of the insured's death, the beneficiary/nominee of the policy receives the sum promised as well as bonuses.Furthermore, if the insured lives longer than the insurance policy, he or she is eligible to the basic sum.
  
• Higher returns: An endowment policy can help you build a future corpus while also ensuring your family's financial stability. The payout for survival and death benefits of an endowment plan is larger than that of a standard life insurance, such as a Term Plan.
  
• Premium payment frequency:The policyholder can pay a premium based on the insurance he or she has selected. Payments can be made monthly, quarterly, half-yearly, or annually.
  
• Flexibility in Cover: Riders such as critical disease, total permanent disability, and accidental death can be added to the base plan to increase the life insurance coverage. In addition, a few plans give premium payment waivers in the event of total permanent disability or serious illness.
  
• Tax Benefits: Under Section 80C and Section 10(10D) of the Income Tax Act of 1961, the policyholder is eligible for a tax exemption on premium payments, maturity, and final payouts.
  
• Low Risk: Because the money is not invested immediately in equities or the stock market, traditional endowment policies are thought to be safer than other alternative investments such as mutual funds or ULIPs.
  

Benefits of Endowment Plans

Following are benefits that come along with a endowment e policy -

• Maturity Benefits: Endowment plans pay a maturity benefit to the life guaranteed if he or she lives to the end of the policy term. If there are any bonuses declared on the endowment insurance, in addition to the maturity benefit, a bonus is also granted at the time of maturity.
  

• Wealth Appreciation: Endowment plans are participating insurance plans that allow wealth appreciation. Every year, bonuses are announced on the endowment policy, which are additional profits delivered to the life insured. On the policy, the insurance company can declare reversionary or terminal bonuses.The bonuses are provided with the maturity benefit at the end of the policy term.
  

• Additional Coverage: The life assured has the option of adding riders to the endowment policy, which are additional coverages that may be purchased with the endowment policy for a fee. Accidental Death Benefit, Critical Illness Benefit, Waiver of Premium, and other riders are common endowment plan riders.The rider enhances the power of the base cover of your endowment policy.
  

• Tax Benefits: Under endowment policy the life assured can avail tax exemptions as premium paid for an endowment policy qualify for tax exemption under Section 80C and 10(10D) of the Income Tax Act, 1961. Maturity benefits payable under an endowment plan are also eligible for tax exemptions.

How Does An Endowment Plan Work?

Endowment plans are similar to normal insurance policies in that they provide a steady stream of income. They don't just provide life insurance; they also help you save on a regular basis. When the policy matures, providing the policyholder has survived the policy period, he or she will get a lump sum payment. This money can be utilised for a variety of purposes, including purchasing a home, paying for the education of your child, and putting money down for retirement.

Why Choose InsuranceDekho?

Here are some good reasons why you should choose InsuranceDekho while purchasing an endowment plan: .

• Easy Policy Issuance: At InsuranceDekho you can easily purchase an endowment policy easily by following these simple steps:

1. Provide your personal details such as Name, Age, Mobile Number and Date of Birth
2. Compare available endowment plans at once
3. Select a plan that fits your needs
4. Pay the premium and submit the required documents.

• Committed Customer Service: Our customer support team is available all 7 days of the week to provide you with effective solutions for your queries. Our aim is to be always readily available to provide you with best solutions regarding your queries.

• Availability of Best Plans: We have partnered with some of the top-notch insurance providers in India that offer you endowment plans. We strive to provide you with the best insurance plans offered by best insurance providers in India.

• Smooth Claim Settlement: At InsuranceDekho we aim to provide a quick and claim settlement, to ensure that our customers are financially satisfied in difficult times.

How To Buy Endowment Plans With InsuranceDekho?

Purchasing an endowment plan at InsuranceDekho is easy and a quick process. You can compare and purchase an endowment by following these simple steps: .

• Provide Details: To compare different quotes enter your details such as mobile number, name, date of birth and dender. Then click on ‘View Instant Quotes.’

• Compare Endowment Plans: Plans that match your requirement will get displayed and you can compare and choose a plan that best suits your requirements.

• Make Payment: Choose from the available endowment plans and make the premium payment via net banking, e-wallets or debit/credit cards.
• Submit Documents: Submit documents such as ID Proof (Aadhaar Card, Pan Card, Voter ID etc.), Address Proof (Electricity bill, Passport, Ration card etc.), passport size photos, salary slips and a filled proposal form along with medical records for policy issuance.