What traditional life insurance actually covers
Traditional life insurance covers a mix of a small death benefit and a savings component, usually endowment or money-back.
The cover in plain terms
A mix of a small death benefit and a savings component, usually endowment or money-back.
What it does not cover
Every policy has exclusions, and they are the part worth reading twice. Look specifically for waiting periods, sub-limits, co-payment clauses and anything described as "reasonable and customary charges" — that phrase is where claims shrink.
Where it sits in the family plan
Insurance is not an investment and should not be judged like one. Its job is to stop one bad event from undoing years of saving. Buy for the catastrophe you cannot fund yourself, and self-insure the small stuff.
Where FamTally comes in
FamTally holds every policy the family has — traditional life insurance included — with sum assured, premium, frequency, renewal date and the members it covers. It totals your cover so gaps are obvious, puts premiums into your monthly cashflow, and reminds you ahead of each renewal. Free to use.
Stop doing this in a spreadsheet
FamTally keeps your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and answers questions about your own numbers. Free, and built for Indian families.
Start freeQuestions people ask
What does traditional life insurance cover?
A mix of a small death benefit and a savings component, usually endowment or money-back.
How much cover should we take?
Rarely the right vehicle for either job — cover is thin and returns trail inflation. Where one already exists, know what it pays and when.
What happens if it lapses?
Premium due dates matter; surrendering early usually returns much less than you paid.