Personal Finance
I would however still advice you to have an additional cover for yourself on individual basis as that will come in handy when you are switching you job
Updated : Jul 18, 2018, 06:50 AM IST
Yes, your life insurance will cover you should something happen during your foreign trip. Since you have not mentioned your current age or the amount of cover your office provides, it will be difficult for me to confirm if it’s appropriate. As a thumb rule, if you are less than 45 years, you should have insurance cover of at least 20 times of your annual income and if you are over 45, the insurance cover should be at least 10 times of your annual income. I would however still advice you to have an additional cover for yourself on individual basis as that will come in handy when you are switching you job.
The amount of money that you need to save over a 15-year period to earn Rs 1 lakh per month will depend on the expected rate of return during these 15 years along with the annuity rate prevalent at that time. Let us assume that you will get 8% return over these 15 years and the rate of annuity prevalent when you turn 60 is 5%. In this instance, you will need to save approximately Rs 50,000 per month for the next 15 years to earn Rs 1 lakh per month from your 60th year till you are alive. Yes, you can make monthly investments in a pension plan.
Rushabh Gandhi, Deputy CEO, IndiaFirst Life Insurance
Clear your doubts with regard to life insurance.
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