Guaranteed return, tax breaks key benefits of retirement-focused insurance

Remember that their internal rate of return could be low, and unlike annuities, they do not make payments for life

“Invest Rs 1 lakh yearly, get Rs 2 lakh annually.” Doesn’t this also sound like a great investment? You pay Rs 1 lakh every year for 15 years, and then receive Rs 2 lakh annually for the next 15 years, effectively doubling your investment.

 

If you are a salaried employee in your early- to mid-forties, this may strike a chord. One of your biggest worries is managing expenses after retirement, when income stops but expenses continue. Retirement-focused products that promise certainty can therefore look attractive.

 

Appeal of guaranteed returns

 

These products are simple, transparent and easy to understand. The returns