{"id":5205,"date":"2022-08-05T06:37:35","date_gmt":"2022-08-05T06:37:35","guid":{"rendered":"https:\/\/www.voozon.com\/?p=5205"},"modified":"2022-08-05T06:37:37","modified_gmt":"2022-08-05T06:37:37","slug":"why-should-married-people-buy-term-insurance-under-mwp-act","status":"publish","type":"post","link":"https:\/\/www.voozon.com\/why-should-married-people-buy-term-insurance-under-mwp-act\/","title":{"rendered":"Why Should Married People Buy Term Insurance Under MWP Act?"},"content":{"rendered":"\n
The purpose of buying term insurance, generally, is to secure your wife and children\u2019s future in case of any uncertainty. It would also be good if the term plan<\/a> provided the claim amount hassle-free in your absence. But, there is a condition that usually applies in such cases, like if you owe the creditors, relatives or friends any outstanding loan, they will have the claim to the amount first. In such a situation, buying term insurance under the MWP act comes into the picture. Before proceeding to the importance of buying term insurance under the MWP Act, let us first know what MWP Act is.<\/p>\n\n\n\n The MWP Act<\/strong><\/p>\n\n\n\n The Married Women\u2019s Property (MWP) Act is a law that was created for the protection of women\u2019s properties against creditors, relatives, or friends trying to claim them with unfair means. As per Section 6 of the MWP act, in case a married man purchases an MWP act life insurance, then only his wife and children can claim the policy benefit. As a result, the death benefit will not be passed to the creditors, relatives or friends who have outstanding loans.<\/p>\n\n\n\n Importance of MWP in Insurance<\/strong><\/p>\n\n\n\n Now, let us understand the importance of MWP in insurance with the help of the following points:<\/p>\n\n\n\n If you opt for a cash-value life insurance policy, the premiums are paid after the first few years as mentioned in the policy, and the policy possesses a \u201cpaid-up value\u201d. It means that the policy doesn\u2019t completely lapse or become zero if the policyholder doesn\u2019t pay the premium.<\/p>\n\n\n\n If the policyholder chooses to surrender the cash value in any case, the beneficiaries will be paid the surrender value as defined in the policy under the MWP Act. Thus, in case a married man takes a life insurance policy under the MWP Act, whether the situation is survival, death, surrender or paid-up policy, the beneficiaries named in the policy will be receiving all the benefits.<\/p>\n\n\n\n The most important benefit of term insurance is the affordable premium. If you compare a term insurance plan with other life insurance plans, you will find it to be easily affordable. Additionally, the earlier you buy, the lower will be the premium. Moreover, buying a term plan online will cost you less than an offline term plan. For example, if you opt for the Tata AIA term plan online, you will find the cost more affordable.<\/p>\n\n\n\n Another importance of buying a term plan is that you get multiple death benefit payout options. For example, the financial<\/a> liability for paying the EMI of your home or car might fall on your wife or children. Tata AIA term plan<\/a> also provides various payout options. Hence, in case of an untimely death, the family\u2019s future financial<\/a> needs will be met. Most significant expenses can be met with the amount received.<\/p>\n\n\n\n