Prajna Capital - An Investment Guide

This blog post explains the difference between Investment and Insurance . Most of the time people confuses both savings and the insurance . Some times without proper knowledge investing in the insurance will eat your money. Here you will see a simple example explains all that. Insurance and Investments A lot of us confuse Investment and Insurance. Investment is something that we save up to use while we are alive . Insurance is something we save up for our family to use once we are gone. The goals of Investment and Insurance are totally different. A lot of us take Insurance policies as investments. This is the reason why there are a whole group of people running behind us telling us how great their new Insurance policies are. Let me explain with a simple arithmetic. Assuming you pay an Insurance policy premium of Rs. 25,000/- for a policy that would mature in 20 years The Insurance agent would have told you that the policy is worth Rs. 5 lacs and you would get a bonus amount equivalent...