While purchasing an insurance policy, many of us look for one that has lower premium payout without giving much attention to the extent of protection needed for the family. An insurance buyer should look at the cover as protection and not mainly as an investment. Thus, the cover you buy is not for you but for protecting the family if something unfortunate happens.
Before purchasing a policy, you should calculate your total liabilities such as EMI for a home loan and other borrowings, children education cost and other expenses required to meet the family’s needs. Once you evaluate the need, you should buy the best suitable plan having the desired sum assumed to protect your family. However, if you do not have too much of liability, then you need to pay a lesser amount to protect your family financially.
