Reasons why saving through insurance is totally worth it…
95% of adults in the US are pretty convinced the word insurance is synonymous with theft.
… and this isn’t by mistake.
Insurance is a shield against risk and risk is the uncertainty of an outcome, that is to say, an event has a chance of going either way. So, the insurance company only pays the holder of an insurance policy or the designated beneficiary in case an agreed-upon event occurs as described at policy inception, now this is not the most appealing deal for most people but, insurance is one of the oldest industries and it has evolved over the years to accommodate saving and investing for its clients.
Why you should care…
Your bank probably gives you 0.5% on your savings and if that makes you feel icky, you are not alone. For some perspective on how minute that is, saving 200,000 shillings in your bank means 201,000 shillings is what you get at the end of the year. Do not forget that the prices of stuff you need will generally increase by a percentage greater than that.
Unlike cash in your savings account, some insurance policies can be used as collateral security for that bank loan you need to build your dream.
The tremendous value in insurance products like unit-linked plans and endowment plans is just so not spoken about enough, they cover you or your loved ones against the risk of death whilst investing a portion of your premium in rewarding business ventures. You can easily end up with a 25%+ gain.
This handsome gain plus your total saved money at the end of the policy term can be borrowed against, this is something known as a policy loan. It helps the insurance policyholder access his/ her future benefits now. Suffice it to say that some insurance saving plans provide the much-needed flexibility to withdraw money from your policy in order to support major or minor events of your life.
Researcher at https://cigf.today/