Endowment policy is one type of life insurance policy, which is a very conventional one and to be well known by elderly investors today who are into insurance and investments for decades now.
It is a type of policy designed specifically for the policy holders to get an insured amount along with the bonuses, on maturity. The maturity period will generally be 10 years, 15 years or 25 years, or more, depending on the age of policy holder. This benefit of amount is generally applicable after the maturity of the policy, but even at cases of death of the policy holder and sometimes during critical illnesses.
If a policy holder wants to surrender and encash the policy in between the tenure, it is possible, however the maturity amount will be based on the tenure of the policy and the amount has been paid against the policy until encashing.
Riders and Benefits
Policy holders can also be entitled to different riders as part of the endowment policy and there are many benefits available through the riders. In the first 5 years of the policy, there will be many new additions given to the policy holders, but keep a track on getting the benefits from your insurance agent. Policy holders will also get extra bonuses once a year after 5 years, depending on your insurance providers terms and regulations.
Through your Endowment Policy, you can hire loans from insurance provider, based on the total premium amount and bonus accumulated by your policy.
When you are really cared about your family and their future, you would definitely want to protect them to the fullest for which endowment policy is one of the option among many. There are many latest plans coming up in the recent days, so you can talk to your insurance advisor to know about all the insurance plans available and choose the best insurance policy suitable for you.
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