Joint Insurance Policy is provided financial security to married couple or business partners in the same insurance plan. The best feature of this insurance policy is that its cost is less as compared to two different life insurance. Along with this, it is also easy to manage.
What is Joint Life Insurance?
Single life insurance ensures that your dependents do not suffer financially in the event of your death. Whereas under joint insurance provides financial assistance to two business partners or spouses.
The head of the household, the husband contributes financially to run the household, this approach is understandable, while his/her spouse may not contribute financially but still discharges family responsibilities, resulting in the death of the partner from a financial point of view. can be harmful.
In such a situation, a joint life insurance plan can be very beneficial as compared to any other life insurance plan. This is the reason why it is worth considering taking a joint insurance policy that covers the financial loss that may occur after the possible death of the partner. Joint Insurance is a better option for married couples
It is clear from the name of Joint Insurance Policy i.e. Joint Life Insurance Plan that this insurance plan provides financial security to two persons. According to financial experts, this plan is a better insurance plan for married couples. Under this, in the absence of one of the insurance cover period, the other gets the benefit of life cover.
Types of Joint Life Insurance
Insurance companies provide two types of plans under joint insurance, one is Joint Term Plan and the other is Joint Endowment Plan. Let us know about these two policies in a little more detail.
What is Joint Term Plan?
In this type of joint life insurance, financial protection is provided to two persons for a fixed period in a single premium. There can be husband wife or two business partners in two persons. The term of insurance can be for 10-30 years. The insurance premium is determined keeping in view the age and health status of both.
Taking a policy at an early age is beneficial as insurance companies charge less premium. In this type of joint life insurance, if one of the partners dies, the surviving partner can claim for the life cover amount after which the cover lapses.
What is Joint Endowment Plan?
Endowment plan gives life cover as well as investment option. In this scheme also, two partners or husband and wife get the benefit of financial security. Like a joint term plan, insurance cover is also given in this for a fixed time. Many such companies also provide cover till the age of Jai retirement. After retirement, the insured gets a fixed amount which is called endowment.
PNB MetLife, Aegon Religare and State Bank of India (SBI) Life have recently introduced this type of joint life insurance. Which covers couples under one policy. While PNB MetLife and Aegon Religare are offering this facility as a part of online term policies, SBI Life's offering is an endowment plan.
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Benefits of Joint Insurance Policy
1. Insurance management is also easy
The primary advantage of a joint term plan is the convenience attached to it. It is much easier to operate one insurance than two different insurance policies. Therefore, taking Joint Insurance Policy would be better than taking two different insurance policies. In small families, both the spouses can also take advantage of shared properties and joint security etc.
If married couple is working then it is a better option for this because in today's time financial responsibility is equally on husband and wife. From home loan to car loan, both have names, so both need equal financial security. Accordingly, a joint life insurance policy is also a better option.
2. Premium rate is also low
An advantage of joint life insurance cover is that its premium is also cheaper than other insurance. If you buy two different insurance policies then you will have to pay a higher premium whereas the premium for a joint life cover will be much cheaper as compared to two insurance covers.
In joint insurance , the premium gets reduced after the first installment is paid. If one of the spouses dies, the surviving spouse is not only entitled to receive the full Sum Assured on the cover of the primary policyholder but also to pay future premiums to keep their cover for this type of joint life insurance. Doesn't matter.
For example , if the husband is 36 years old and the wife is 35 years old, then taking two joint insurance policies will be more beneficial. Under the first joint plan, 50 lakh rupees and the second policy for 25 lakh should be taken. In case of death of husband, wife will get sum insured of Rs 50 lakh. Apart from this, his own life insurance of 25 lakhs will continue without paying the premium.
3. Savings in joint insurance as compared to single insurance
If a 30-year-old youth takes a term insurance of Rs 1 crore, then he will have to pay a premium of about 12 thousand rupees annually. The same 27 year old woman will have to pay an annual premium of about 9 thousand 500 rupees for term insurance of 1 crore.
In this way, if both of them take different policies, then they will have to pay a premium of Rs 21 thousand 500 annually. On the other hand, on taking an annual combined insurance cover of Rs 1 crore, a premium of about 20 thousand rupees will have to be paid. In this way you will have 1500 rupees annually.
4. Monthly payment option is also there
Many insurance companies Joint insurance Policy In case of death of one of the partners in the benefit of Sum Assured to be paid monthly or opting for lump sum payment. The beneficiary provides the option of paying the cover amount in a lump sum or monthly for 10 years.
In a joint insurance plan, parents can make their child a nominee. In the event of the death of the parents, the amount of cover is given to the children. The child can also opt for lump sum or monthly payments.
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