Regular Pay vs Limited Pay in Insurance | Money Back Policies vs Term Insurance

In this video, we focus on two distinct financial products: term insurance and an investment cum insurance product.

We begin by examining term insurance, which offers two different premium payment options. The first option involves paying a higher premium for the initial 15 years, followed by 17 years of not having to pay a penny. The second option allows you to pay a lesser premium for the entire duration of 32 years. We break down the advantages and drawbacks of each payment structure, enabling you to determine which option aligns better with your financial goals and constraints.

Next, we dive into the realm of investment cum insurance products. While these products promise a combination of insurance coverage and investment growth, we reveal how they often deliver subpar returns compared to other investment avenues such as fixed deposits (FD), index funds, or gold. Through in-depth analysis and comparisons, we empower you to make an informed choice when considering these investment cum insurance products.

Furthermore, we provide you with a comprehensive framework and calculations to identify potential red flags and assess the long-term implications of various financial products. We discuss the concept of opportunity cost, shedding light on the trade-offs involved when choosing between different investment options.

Subscribe to this channel for more insightful content on personal finance and investment strategies. Empower yourself to make sound financial choices for a secure and prosperous future.

How to choose a term insurance
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[finance.boosan]

Buy Term Plan & Get Online Discount Upto 10%👇

[kamaleshnellai]

Neega solra than romba correct bro relative Investment solli nagalum same kotak la than potrukom😢 intha mathri Nala videos 5 years back yarum podala....itha parthu right choice edunga makala👍

[DashboardTrader]

"Time value of money" is the first lesson an investor should learn. Great job 👏 you are helping people understand this.

[cheerskannamma]

Ohhhh man the best decision I've taken in my financial journey is joining in ur community ❤ every penny worth it ...

[m.r.sirpaiyur]

I am watching so many share market related YouTube channels but you are different from others I'm gaining knowledge from you brother continue your work, guide middle class people will become rich like this, please don't be money minded person in future bro now you are doing well 🎉

[SuperMaddyrox]

I feel that the second option (Limited pay) is also not a bad thing.

After 10 years I won't have to pay any premium and I can invest the same in mutual fund/stock/index fund for the remaining 22 years.

Considering a CAGR of 13% in mutual fund I will get approximately 23 lakhs.

Rs. 1517 * 12 months * 22 years * 13% CAGR = Rs. 22.9 lakhs


Whereas if I choose the first option I have to pay the premium of Rs.1517 along with GST till the end of policy term.

The first option will fetch a benefit of Rs.2.2 lakhs in the first ten years.

Rs. 900* 12 months * 10 Years* 13% CAGR = Rs. 2.2 lakhs

But after that I will be losing the 23 lakhs return, because I am not investing in mutual funds in this case for the remaining 22 years.

In a nutshell the second option (limited pay) gives me 1.5 crore cover and 23 lakhs return.


Please correct me if I'm wrong.

[randomthoughts]

Really thought provoking, in the past i had taken this kind of endowment plan .Later i have realized and discontinued the policy.

[krishnamoorthisundaramoort]

பாமர மக்களும் புரிந்து கொள்ளக்கூடிய விழிப்புணர்வு மிக்க செய்தி. சாதரண மக்களும் இது போன்ற எளிதில் புரிந்து கொள்ளும் வகையில் தொடர்ந்து பதிவிட அன்புடன் கேட்டுக் கொள்கிறேன். நன்றி.

[kalaimanicse]

Good video. Faced the same situation while taking my Term insurance last year. And I did the same calculation and escaped from their trap.

[abilashn]

Eye opening video.... Great brother.. keep on educating us by posting more videos ❤️

[xnivaxhzne]

Bro ❤.. 3rd youtuber I am following after Anand Srinivasan and Investment Insights in finance category. You should reach heights.

[RamkumarD-xi]

Great brother! Became really a big fan of you.
You have answered all the possible questions that can raise with respect to the term insurance in your play list.
Watched all of them more than once, everytime better charities.
Abundance of information, the best among our Tamil community mentors in this kind.
Much much much appreciated, looking forward to see you as an icon soon.
All the very best!

[meganathankns]

How to choose perfect term insurance video needed

[arunb]

Great video, thanks ! I am planning for term insurance, I thought first 10 years premium was better initially, but now it's clearly showing monthly premium is right one. Thanks

[financiallearner]

Romba thanks bro indhah topic pesa solli naan dhan kettu irundhan reply pannitinga

[nikhilbank]

Bro superb... Intha maari naraya informative videos podunga bro

[blackfeather]

Very informative. Mostly everyone is suggested with bad Insurance policy as investment. Stay aware

[Mohandted]

Sema bro... I'm one of the person who affected in this scam by purchased "HDFC Classic assure plus".

Now I can't surrender my policy. If so I can't get even my paid premiums.

[kesavaramanc]

You are the different person from other you tube Channel. Very good information giving to all

[TamilKalanjiyamvideos]

Hi bro excellent eye opener!!

Pls upload a video about PLI Postal scheme.... Can we go for it?