Customer Preferences towards Life Insurance as a Saving Alternative

Abstract

The world "Fear" has only four alphabets like love but both of them are having very different meaning. Whatever man (male or female) does for the love of their families always starts with the background of fear. Generally so many times we have been asking ourselves that, what will happen if we were not there, but we keep on asking rather than doing something for it. Time is precious, it never stops for any one and we are living in the world of uncertainty; the uncertainty of job, the uncertainty of money, the uncertainty of property and like this the story continue for the whole life of a man.

How you can save your hard earned money? Or shall I say where you can invest? The answer to these questions is Banks, Post Offices, Equity, Mutual Funds, Capital Goods and Insurance.

Except insurance all the investment alternatives involves risk and the only rule that prevails is high risk high profit, if the economic circumstance is not favoring our investment we will loose our hard earned money, further more all these investment plans are for the short period, on the other hand Insurance has a long term perspective. As investment, it not only covers the risk of your life, rather it also secures the future of your loved ones.

The idea is to derive two basic investment need from insurance; one is the investment that means the returns on his money.

The other aspect of investment is assurance from the investment that this is the amount you will be getting.

In view of these insights, insurance emerges as the combination of both Investment and assurance.