Unexpected expenses and the risk they pose for your finances is not always something you can avoid. This makes including insurance in your financial planning strategy the need of the hour. 

On Bajaj Markets, you can explore, compare, and apply for a wide range of insurance plans from leading providers. With various types of insurance plans providing cover, you do not need to feel exposed when it comes to finances during unexpected situations – health or otherwise. 

Opt for high coverage with affordable premiums and make room for insurance in your financial planning to protect your overall well-being. 

Role of Insurance in Financial Planning

Emergencies involve stress – monetary, emotional and mental. Here is how having insurance can reduce it. 

Mitigates Risk

One of the primary reasons to get insured is to lower your risk exposure. Here are some examples:

• Health insurance can reduce the stress of medical expenses during accidents, illnesses or death
• Automobile insurance can assist in covering expenses if you accidentally cause harm to someone, their property, yourself or your property

Secures Finances

Insurance also helps add an extra layer of protection to your finances. Here is how:

• It adds a degree of predictability to your financial plan
• It ensures that your savings and valuable assets remain secure even in emergencies
• Some insurance plans, like Unit Linked Insurance Plans (ULIPs), offer dual benefits of investment as well as insurance

Provides Tax Benefits

A well-planned insurance strategy can also help reduce your tax liability. In India, you can claim these deductions under the following sections:

• Section 80C: Premium payments for life insurance policies
• Section 80D: Premiums paid on health insurance policies
• Section 80DD: Medical treatments related to certain critical medical conditions

Offers Peace of Mind

Insurance plans also help reduce stress due to these reasons:

• You do not need to worry about addressing unexpected expenses during emergencies if you have insurance
• The responsibility of compensation shifts from you to the insurance company
• It helps protect you from claims and lawsuits
• It reduces chances of delaying treatment/repairs and helps you take decisions without comprising

Must-have Insurance Options in Your Financial Planning

Here are some crucial insurance plans you can look into:

Life Insurance

With this plan, the insurer promises to compensate your nominated family member in case of unfortunate demise. You pay an annual premium amount to get the benefits, which can vary depending on the policy terms. Here is what it can include: 

• Medical and funeral expenses
• Daily living expenses
• Children’s education
• Loans and other debts

Medical Insurance

Here, the company covers your medical expenses in case of accidents, unforeseen illnesses or expenses for certain procedures. Here is what it generally covers:

• Ambulance expenses
• Hospitalisation expenses
• Pre- and post-hospitalisation expenses
• Prescription bills
• Laboratory services
• Wellness and preventive services

Automobile Insurance

When you get insurance for your vehicle, you get protection against harm caused to you, your vehicle, another person, or their vehicle. It covers the following:

• Cost of replacement or repairs of the vehicle
• Medical expenses of an individual
• Liabilities related to the demise of an individual

Property Insurance

This type of insurance helps provide coverage for the protection of the insured property or liability coverage for the owners of the property. It may include coverage for the following:

• Damage caused by smoke, fire, flood, lightning, etc.
• In case an individual gets injured on the property

With a wide range of insurance providers in the market and various policies you can choose from, getting the right one can be confusing. The best way is not to forego proper research and shortlist the best options. Insurance is among the many available financial services on Bajaj Markets.

On this platform, you can find and compare affordable insurance options from top insurers and choose the best one. Bajaj Marketsoffers the convenience of applying through a 100% digital process with minimal formalities.