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Insurance Basics Part II - Life Stages

Life Stages

Your insurance need will change as your life does, from starting to work to enjoying your golden years and all the stages in between. Each one of these stages may pose a different insurance need/cover for you. In this section, we have drawn up the basic life stages and help you analyze various insurance needs accordingly.


STAGE 1 : Young and Single

An important stage where one lays down the foundation of a successful life ahead. Take advantage of the time and power of compounding to ensure that you build up your dreams. Start saving early.

Your needs:
  • Save for a home and wedding
  • Tax Planning
  • Save for Golden years

STAGE 2 : Just Married

Marriage brings about a significant change. New dreams and new opportunities also bring in additional responsibilities. While both of you look forward to a happy and secure life, it is equally important to ensure that eventualities don’t come in the way of shaping your dreams.

Your needs:

  • Planning for home / securing your home loan liability
  • Save for vacation
  • Save for your first child


STAGE 3 : Proud Parents

Once you have children, your need for life insurance is even more. You need to protect your family from an untoward incident. Ensure your protection umbrella takes into account the future cost of securing your child’s dream. You will want life to go on for your loved ones, and having enough life insurance is a way to help ensure that.

Your needs:
  • Provide for children’s education
  • Safeguarding family against loan liabilities
  • Savings for post-retirement
STAGE 4 : Planning for Retirement

While you are busy climbing the ladder of success today, it is important for you to take time and plan for your life after retirement. Having an early start for retirement planning can make a significant difference to your savings.Think about your golden years even before you have reached them. The key is to think ahead and plan well using your time and money.

Your needs :
  • Provide for regular income post retirement
  • Immediate Tax benefits
  • Lead a secure, independent and comfortable life style in your retirement years
  • Choosing the right plan
Identifying the right plan basis your needs is the first crucial step towards insurance planning.

Analysing Needs.........What is your need?

Protection
Need for a sound income protection in case of your unfortunate demise.

Investment
Need to ensure long-term real growth of your money.

Saving
Save for the milestones and protect your savings too.

Pension
Need to save for a comfortable life post retirement.

Once you have analyzed your needs as per above classification, you need to then ascertain important factors such as type of cover, insurance amount as per one's income, life stage and dependents. It is difficult to arrive at all these figures yourself. Our financial consultants can help you.
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