Bought life insurance for savings, don't want to run? Know the amount of profit or loss
Know the profit or loss if you want to stop your insurance
At the age of 55, Babu bought life insurance for 12 years for Rs 6 lakh. Premium on quarterly Rs 19,000 after retirement. After retirement, he calculated that he would have to pay a premium of Tk 6 lakh 7 thousand. Since the endowment will be added to the bonus and part of the profit. So when the savings decreased after retirement, he did this insurance with the idea of making up for those savings again. The question is whether it was right as a saving strategy. That has become hot. What is the road in front of him now?
His argument, however, was one. After retirement, everybody's pay diminishes. Very few people have the opportunity to continue working in the alliance. Still, the idea to proceed. But this premium started to feel quite heavy in Mr. Babu's pocket. Despite the fact that it was troublesome, he continued. Six years, but can not pull. Think again thinking so many days have given so much money as premium. He thought of this insurance as an opportunity for savings and insurance. He still wants to look that way but can't pull the premium anymore. What to do?
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Babu has two options open to him: a) Surrender of insurance, b) View insurance premium as paid up.
We should see the contrast between the two.
A) Various aspects of insurance surrender
You can no longer afford insurance. Or he calculated and bought insurance by keeping savings and insurance together. But now if you look at these two separately, his income will be more. Babu can therefore surrender the insurance. He can get back a part of the premium he paid. But not the whole. Depending on the different policies and insurance companies, this is essential for your discount. However, if you are below 3 years, you are less likely to get some money back. The figure is usually as follows:
30 percent of the premium paid after 3 years.
50 percent of the premium paid for 5 to 6 years.
75 percent after 6 years.
90 percent two years before Machiavelli.
How he thinks of this figure will depend on him. There is another way open in his hands. He wants to save money, he also wants the benefit of insurance, but he does not want to get new insurance. Not even the term. Want to save money again. Then it is better for him to pay the insurance.
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B) The amount of paid-up
The first three to five years are a strange time in the case of insurance. If you stop paying the premium within this period after starting, nothing will be refunded. So let's assume that Babu has crossed the five-year limit. This time he paid up. In this case, just stop paying the premium is enough. In case of surrender, however, the insurance agency must be educated. Then the company will calculate how much money you can get back in accordance with the terms of the policy and deposit that money into your account. On account of a settled-up strategy, since the sum insured is involved, it is important to calculate how much your sum assured will stand. The figure is calculated as follows:
Modified Sum Assured = Initial Sum Assured X (how many years premium paid / how many years due
Let's take the example of Abhishek Babu. He bought a policy worth Rs 6 lakh for 12 years. But want to stop premium with 6 years premium. His Sam-Assured will stand-
600000X (6/12) = 4 lakhs.
Keep in mind this figure is just for your guess. In any case the 12 years, you can also get the bonus and part of the profit. Yet, it will rely upon the particulars of your strategy. Keep in mind that Babu has invested a quarterly premium of Tk 19,000, but he has invested Tk 4,056,000 on this insurance! So no matter how much he gets in the form of bonuses and profits, if he calculates inflation in any way, this money will not even come close to the profit that would have been made if he had invested in another way.
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