Well, let us just begin with a common question. Who is a non-working spouse? To answer it generally, the non-working spouse is someone who is staying at home, taking care of the household, doing the cleanliness, cooking for the family, taking care of the children, ageing parents, and so forth.
Believe it or not!
*Tax benefit is subject to changes in tax laws. *Standard T&C Apply
** Discount is offered by the insurance company as approved by IRDAI for the product under File & Use guidelines
A non-working spouse in India has a more tiresome job compared to a working spouse. A working spouse is getting paid while a non-working spouse is not.
The non-working spouse has a responsibility that ideally not offers any salary, perks, benefits, bonus or any other recommendations. Therefore, having term insurance for non-working spouse in India is important.
In India, covering the non-working spouse is not considered important. Often we forget, to consider the financial value of house care, child care and various domestic services that the non-working spouse takes care of.
In India, mostly the non-working spouse is a woman and it might be unimaginable to account for the financial implication in case of the absence. Term insurance for non-working spouse in India will be helpful as it ensures that the family will be able to tide over the financial damage in case of any unfortunate event.
The life insurance companies realize that taking care of a household is as important as earning income for the house to meet the everyday expenses. Mostly, the life insurance that is offered to the non-working spouse is on the premise of the coverage and the income of the counterpart earning.
Mostly the insurance covers allow adding the spouse within the same policy by simply paying an additional premium amount.
When determining the amount of coverage required for the spouse, the needs will be different. When it comes to calculating the amount, just ask one question what would be the cost to get onboard someone to replace the spouse and perform all those tasks that the non-working spouse keeps on doing throughout the day.
Next, compute the number as a yearly cost and then multiply by the number of years approximately the services would be required. Let us consider that one would require it for 5 years worth of the income replacement till the time things are balanced out.
Yes, insurance is important to secure the family's future in terms of finances; however, the safety net is not complete until the non-working spouse has adequate insurance cover taking care of the financial needs overall. Well, for anyone who is a housewife, it is important to understand the importance of term insurance in 2021.
The term insurance plan is one of the purest forms of financial safety for the family. It provides coverage to the nominee in case of an unfortunate event. The term insurance plans compared to any life insurance product is simple and easy to understand. It offers high coverage, at a nominal term insurance premium. Besides, the females are most entitled to receive a premium rebate depending on the insurance company.
When comes to a joint life cover then both the partners are equal owners of the plan. In case anything happens to any one of the partners, then the surviving partner is entitled to receive the death benefit. In this manner, both the partner is protected against any untoward exigency that might arise.
Regardless, of whether a working or a non-working spouse in India, a term insurance plan is important for the financial safety of loved ones. The term cover for the working spouse will cover the family from the risk of losing earning member. Term insurance for non-working spouse in India ensures that the family does not have to bear an extra financial strain in case of any adversity.
The non-working spouse in India is a misnomer wherein they have their duties and a safety net is important. Right from handling the household chores, child care, to cooking, and so forth, the non-working spouse does not get any holiday. A non-working spouse helps to reduce these unnecessary expenses.
Imagining a life without a life partner is not easy. In case the non-working spouse passes away suddenly, the loss is inevitable both emotionally and financially. Term insurance for non-working spouse in India will be of great help. A term insurance plan will also help to save taxes on the premiums under Section 80C of the IT Act.
With the right term insurance policy in place, stay prepared for any adversity. We are living in times of uncertainty. Remember, adversity does not come with prior notice.
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