In this day and age, the thinking of “I’m still young, I do not need any insurance plan yet” can’t be used anymore. Today, everyone regardless of their age, gender, and race can unexpectedly get sick too. Therefore, every single one of us needs to acquire an insurance plan to ensure a happy and worry-free from financial problems in the future. Not only for ourselves but also for our loved ones.
We always wish to live a long life, but what is the use for it if we are constantly having to worry about our financial problems? No one wants that. A life insurance plan is not just merely a plan to safeguard your loved ones from any unforeseen incidents.
With the significant support of an endowment life insurance policy, you can even ensure a pleasant life and fulfilling life that you can cherish with your loved ones for the rest of your life. If you are looking for an endowment life insurance plan Malaysia, this article is just right for you.
What Is Endowment Life Insurance?
Endowment life insurance is a type of permanent life insurance that covers the policy holder’s life and assists the insured in accumulating the total amount of money that is being invested to be used at a certain period of time. This period is called ‘maturity’.
Endowment life insurance has a shorter premium paying period than any other permanent life insurance and it will be paid out within a specified period in the future or when the policyholder reaches a certain age.
Types of Endowment Plan
- Full Profit Endowment: The basic insured amount equivalent to the death benefit will be paid to the policyholder under this endowment plan. This sum is guaranteed from the beginning of the insurance plan policy, The maturity benefit that you are going to receive will be matured but it is typically higher than the amount insured due to the additional incentives that the insurer offers.
- Non-Profit Endowment: In this plan, the insured amount is paid to the policyholder as a maturity or death benefit to the beneficiary of the policy. The benefit pay-out amount remains constant as this type of endowment policy does not offer bonuses in it.
- Unit Linked Endowment: This plan is for those who are willing to risk themselves in order to obtain the best value for their money. This plan is a fixed-term saving plan that also comes with life insurance. In this endowment plan, the premium benefit is utilized to invest in fund units.
- Low-Costs Endowment: This endowment plan is more affordable because the premium benefit is lesser. This plan assists the policyholder in building up savings for the future, which must be paid when a certain period has passed. If any emergency incident happens, this plan will ensure that your beneficiary receives the sum you specified. Yearly bonuses will also increase the amount you will receive when you retire.
This endowment life insurance plan is good for people with consistent earnings and who need a lump payment after a set period of time. If you are considering buying one, consider the advantages of guaranteed returns that it may offer. If you want the best of the best in terms of investment, tax savings, as well as insurance plan, an endowment plan is the best choice for you.