INSURANCE AS A RISK COVER (TERM PLAN) OR INVESTMENT ALTERNATIVE (ULIP)

IEMS Journal of Management Research

Vol 3. No.1 July-Dec 2013 ISSN 2249-569X

INSURANCE AS A RISK COVER (TERM PLAN) OR INVESTMENT ALTERNATIVE (ULIP)

Abstract: This article focuses on the concept of Term Plan and Unit linked plan and compares the two alternatives to find out is it wise to treat insurance as Risk cover cum investment alternative or as purely risk cover financial product, keeping it separate from investment alternative and also to find out which one option works out to be better decision for an individual.

Objectives

1. To understand the concept of Term Plans
2. To Understand the Concept of ULIP’s
3. To make a comparison for between Term Plan & ULIP’s
4. To evaluate the benefits derived from ULIP alone against the benefits from Term Plan with mutual fund as an investment alternative