Till recently I did not know what an endowment plan is. And before my father’s retirement, I had to gather some knowledge on it. These are basically normal savings plans which has the life policy included in it. This is a blend of a life insurance policy and a retirement annuity. Here a policy holder is eligible to get a lump sum amount at the time of maturity or the same is paid to the policy holder if he deceases.
It is definite that this has a benefit of chance – in the event of your surviving you can reinvest the amount or can use it in your retirement. This eventually introduced the term “living benefit policy”. If you want to retire comfortably, there are many options of investments for you to choose from – stocks, fixed deposits, retirement annuities and endowment plans. If you are perplexed, please consult with an investment broker for better guidance.
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