Name itself indicated that we get some limited amount at regular intervals along with huge amount at the end if the policy term. This policy is specially meant for fulfilling some long term goals like studies. Instead of waiting till the end of the policy we get amount at regular intervals also. Out of all insurance policies money back policy most flexible and feasible that most people prefer to take this policy. From this policy insured person gets some prescribed percentage of amount assured at regular intervals along with getting the lump sum amount at the end of the term. It policy is applicable for risk averse.
For instance if you have a policy for which we have to pay monthly premium amount of 1500 INR than you have to chance to get 30,000 for every five years. Tax benefit for money back insurance policy is not as much as expected. This policy not only provides money back but also acts as social security in insured person’s entire life.
This policy gives proper planning to the person and provides course of his life with a sum that is expected in regular intervals. This amount can be specially used for plans such as children’s marriage, children’s education and can be executed in a better way with the help of this insurance policy. In case of death of the insured person, their responsibility gets fulfilled as nominee gets the entire sum assured. This policy can be useful if started as early as possible. Though it is providing all additional benefits death benefit will not be reduced.