When it comes to securing our financial future, finding the best savings and investment plans is crucial. With its diverse range of savings options, India provides individuals with numerous avenues to save and protect their hard-earned money. In today's digital age, online platforms have become instrumental in providing convenient and accessible paths for individuals in India to grow their wealth. In this article, we will explore the importance of savings and investment and the top savings plans available in India. By understanding each option's features, benefits, and considerations, you can make informed decisions and choose the best savings plan that aligns with your financial goals.
What are Savings Plans?
Savings plans are financial products designed to help individuals save and grow their money while offering certain benefits and features. These plans are specifically tailored to meet the diverse financial needs and goals of individuals. Savings plans in the insurance sector aim to provide individuals with long-term savings and protection, allowing them to achieve their financial goals while securing their loved one’s future. It is important to carefully assess and compare different savings plans offered by insurance companies to select the one that aligns with your financial objectives.
Why Invest in Savings Plans?
Investing in savings plans in India offers several benefits and serves as a prudent financial strategy. Here are some reasons why you should consider investing in savings plans:
- Financial Security: Savings plans provide a safety net for unexpected expenses, emergencies, or future financial goals. By regularly saving a portion of your income, you build a financial cushion to handle unforeseen circumstances and ensure stability.
- Wealth Accumulation: Savings plans enable you to accumulate wealth over time. By consistently setting aside money and earning returns, you can grow your savings and achieve long-term financial goals such as buying a home, funding education or planning for retirement.
- Assured Returns: Many savings plans offer fixed interest rates or guaranteed returns, providing a sense of stability and predictability. This can be particularly beneficial for individuals seeking low-risk investment options and looking to safeguard their principal amount.
- Tax Benefits: Certain savings plans offer tax benefits under specific sections of the Income Tax Act. By investing in these plans, you can reduce your tax liability and potentially save more money.
- Diversification: Investing in savings plans allows you to diversify your investment portfolio. By spreading your savings across different types of plans like Unit Linked Insurance plans (ULIPs), mutual funds, or insurance-cum-savings plans, you reduce the risk associated with relying on a single investment avenue.
- Convenience and Accessibility: Many savings plans in India are available through online platforms, making it convenient and easy to manage your investments. These platforms offer features like online account access, automated contributions, and easy monitoring of your savings progress.
Investing in savings plans in India empowers you to build a secure financial future, fulfil your aspirations, and achieve financial independence. It is important to assess your financial goals, risk tolerance, and investment preferences to select the most suitable savings plan that aligns with your needs.
Top Smart Savings Investment Plan in India
In India, there are several smart savings and investment plans available that can help individuals grow their wealth while minimizing risk. Here are some top smart investment plans in India:
1. HDFC Life Sanchay Plus
HDFC Life Sanchay Plus is a Non-Participating, Non-Linked savings insurance plan that offers a secure future for families and shapes up a legacy for them.
Eligibility Criteria:-
| Age of Entry |
- Guaranteed Income Plan Option: 5 years to 60 years
- Guaranteed Maturity Plan Option: 5 years to 60 years
- Life Long Income Plan Option: 50 years to 60 years
- Long-Term Income Plan Option: 5 years to 60 years
|
| Age at Maturity |
- Guaranteed Income Plan Option: 18 years to 73 years
- Guaranteed Maturity Plan Option: 18 years to 80 years
- Life Long Income Plan Option: 56 years to 73 years
- Long-Term Income Plan Option:18 years to 73 years
|
| Premium Payment Frequency |
Monthly, Quarterly Half-Yearly, Yearly |
| Minimum Instalment Premium |
- Annual: 30,000/-
- Half-yearly: 15,000/-
- Quarterly: 7,500/-
- Monthly: 2,500/-
|
| Maximum Instalment Premium |
No Limit |
2. PNB MetLife Guaranteed Future Plan
PNB MetLife Guaranteed Future Plan is an Individual, Non-Participating, Non-Linked savings insurance plan. This plan is designed to provide policyholders with a combination of life insurance coverage and a guaranteed maturity benefit.
Eligibility Criteria:-
| Plan Options |
- Endowment Option
- Income Option
- Income + Lump sum Option
- Income + Boosters Option
|
| Age of Entry |
30 days to 60 years(based on PT) |
| Age at Maturity |
Single Pay: 80 Years
Limited Pay: 75 Years |
| Policy Term |
12 to 32 Years |
| Premium Payment Frequency |
Monthly, Quarterly Half-Yearly, Yearly, Single |
| Minimum Annual Premium |
Single Pay: 2 Lacs
Limited Pay: 11287/- |
| Maximum Annual Premium |
No Limit |
| Minimum Sum Assured |
Single Pay: 1.25* Annualized Premium
Limited Pay: 10*Annualized Premium |
| Maximum Sum Assured |
No Limit |
3. ICICI Prudential GIFT Plan
ICICI Prudential Guaranteed Income for Tomorrow plan is a savings insurance plan with benefits to help you achieve your life goals.
Eligibility Criteria:-
| Plan Options |
- Lump Sum
- Income
- Early Income
- Single Pay Income
|
| Age of Entry |
Minimum 18 – Policy Term, Maximum 60 Years |
| Age at Maturity |
Maximum 80 Years |
| Policy Term |
Minimum 5 Years to Maximum 20 Years (Based on Plan Option) |
| Premium Payment Frequency |
Monthly, Quarterly Half-Yearly, Yearly, Single |
| Premium Payment Term |
Minimum 5 Years to Maximum 12 Years |
4. Canara HSBC OBC Guaranteed Savings Plan
Canara HSBC OBC Guaranteed Savings Plan promises guaranteed Benefits that give you the freedom to write your future.
Eligibility Criteria:-
| Age of Entry |
- Guaranteed Savings Option: 0 to 60 Years
- Guaranteed Savings with Double Protection Option: 18 to 60 Years
- Guaranteed Savings with Premium Protection Option: 18 to 55 Years
|
| Age at Maturity |
- Guaranteed Savings Option: 18 to 75 Years
- Guaranteed Savings with Double Protection Option: 28 to 75 Years
- Guaranteed Savings with Premium Protection Option: 28 to 75 Years
|
| Premium Payment Frequency |
Monthly, Quarterly Half-Yearly, Yearly |
| Premium Payment Term |
5, 7, 10 Years |
| Policy Term |
10, 12,15,20 Years |
| Sum Assured |
- Annual 20,000/-
- Half-Yearly 10,200/-
- Quarterly 5,200/-
- Monthly 1,800/-
|
5. AEGON iGuaranteed Max Savings Plans
Aegon iGuaranteed plan Non-Linked Non-Participating Life Insurance Individual Savings Plan. This plan is designed to provide individuals with a secure and guaranteed savings option along with life insurance coverage.
Eligibility Criteria:-
| Age of Entry |
3 Months to 50 Years |
| Age at Maturity |
18 to 70 Years |
| Premium Payment Frequency |
Monthly, Quarterly Half-Yearly, Yearly, Single |
| Premium Payment Term |
Single Pay, Limited Pay, Regular Pay |
| Policy Term |
5/ 7/ 10/ 15/ 20 years |
| Sum Assured |
5/7/10 years |
| Premium Installments |
For Regular and Limited Pay:
- Monthly Mode:500
- Half-Yearly Mode: 3,000
- Annual Mode: 6,000
- Single Pay: 25,000
- For Single Pay: INR 25,000
|
How to Plan My Savings and Investments
Planning your savings and investments requires careful consideration of your financial goals, risk tolerance, and time horizon. A savings and investment comparison tool lets you compare savings and investment plans seamlessly and will help you find what's best for you. The most effective way to find a savings plan is to look at quotes on the PolicyBachat website where you can easily compare and contrast different plans, choose the best one for your needs, and save money and time in the process. Here are some steps to help you plan your savings and investments effectively:
- Visit the official website of the PolicyBachat
- Click on the Investment Plan tab
- Fill in the requested details such as name, mobile number, and email address
- Enter your age and city
- Select your desired insurance quote.
- You should select a plan with the "premium" quote.
- You can pay for your policy by using an online payment method.
Factors to Consider When Choosing Savings and Investment Plans
When choosing savings and investment plans in the insurance sector, there are several factors to consider. Here are key factors to keep in mind:
- Financial Goals: Determine your short-term and long-term financial goals, such as buying a house, saving for retirement, funding education, or building an emergency fund. Choose investment plans that align with these specific goals.
- Investment Horizon: Consider the timeframe for your investment goals. Short-term goals may require more conservative and liquid investment options, while long-term goals may allow for a more aggressive investment approach.
- Charges: Understand the charges associated with the plan. Evaluate factors like premium allocation charges, policy administration fees, mortality charges, fund management charges, and surrender charges. Compare these costs across different plans to ensure they are reasonable and transparent.
- Policy Term: Assess the duration of the policy term. Determine if it aligns with your investment goals and timeline. Longer policy terms may offer more significant potential for growth, but they also require a longer commitment.
- Maturity Benefits: Examine the maturity benefits provided by the plan. Understand how the plan calculates the maturity value and if there are any guaranteed or non-guaranteed additions or bonuses.
- Bonus Declarations: If the plan offers bonuses, understand the past track record of bonus declarations. Evaluate if the plan has a consistent history of declaring bonuses and if they contribute significantly to the overall returns.
- Surrender Value: Consider the surrender value of the plan. Understand the conditions and charges applicable if you decide to surrender the policy before its maturity. This is important in case you need to exit the plan prematurely.
- Financial Strength of the Insurer: Research the financial strength and credibility of the insurance company offering the plan. Assess the company's claim settlement ratio, reputation, and customer service track record.
- Tax Implications: Understand the tax benefits or implications associated with the plan. Evaluate if the premiums, maturity proceeds, or death benefits are eligible for tax deductions or exemptions under the prevailing tax laws.
Conclusion
Choosing the best savings and investment plans in India is crucial for securing your financial future and achieving your goals. By considering factors such as financial goals, risk tolerance, and tax implications, individuals can make informed decisions about the savings plans that best align with their circumstances. By making smart choices and staying disciplined in your savings habits, you can set yourself on a path to financial security and accomplish your aspirations.
Start exploring the best savings and investment plans at PolicyBachat today and take control of your financial well-being.