A step towards building a core financial security plan for women

Women today are at the forefront of everything. In fact, UAE itself has the highest number of women on the Forbes 100 Most Powerful Arab Businesswomen in 2020 with as many as 23 Emirati women on the list. Today’s women are informed, independent, and equal contributors to the growth of society and their households. They are not only shattering the glass ceiling by finding solutions to the world’s problems but also rewriting the rules to lead across several industries in extraordinary ways. They are also the strong pillars in making their family life fruitful and purposeful.

While there’s no doubt that women are great strategic thinkers and efficient community builders, unfortunately, they hold a back seat when it comes to investing in insurance protection covers for themselves. Especially, those women who regulate a large part of financial responsibility and plan for long-term obligations, need to understand that a term insurance plan will act as a financial pillar for their dear ones, should the unthinkable happen.

Here are some reasons why it is imperative for every woman to have a Term insurance policy, regardless of their marital status and/or employment position.

1. For a woman who is an earning member– If you are a breadwinner supporting your spouse in running your home, you must share the responsibility of protecting your dependents too. Getting a term plan is an initial step towards building a core financial security plan. While the loss of any family member is irreplaceable, especially a woman’s absence can indeed knock down the family’s life balance. A term plan in place can’t make up for your absence, but at least can provide the much-needed financial cover during the difficult time. The term plan will continue to provide your children and dependents with the financial freedom they are enjoying presently.

2. For a housewife– If you are a homemaker or stay-at-home mum, there is a very high financial value attributable to the diverse range of work you do, that often goes unrecognized. If a homemaker meets with a sudden accident or critical illness, it would not just create an emotional void but also, make a huge difference to the finances of her family. Especially if a woman has small children then hiring the service of a nanny tends to be quite exorbitant for the father alone. He might have to relocate to his home country as well. Thus, to manage such additional expenses in advance it is essential for a housewife as well to buy a Term plan. Having a joint life cover with your partner will be a great advantage as both of you would be covered under the same policy. An option like the first death of either of the partner or both deaths is available in a joint term life cover.

3. For a single professional/single mother– A term insurance plan is a great option for a single professional woman. Whether you have dependents such as elderly parents or siblings, who are financially dependent on you. In the event of your uncertain death or serious illness, any debt payment would become a burden on their shoulders.

Similarly, in case a single mother, unfortunately, happens to unexpectedly contact any critical illness or sufferings/death due to an accident, the responsibility of raising her children, providing them education, etc. would become a burden for those looking after them. The repayment of her car loan, home loan, etc. too might become a burden to her close family members after her sudden demise. In any of these scenarios, if the worst should happen to you, term insurance would provide financial support to the nominee during such a difficult time.

4. For assisting women medically– One of the best advantages of a term insurance policy for women is that its benefits can be extended by opting for additional riders. Ideally, a woman must buy a term plan at a young age with riders such as critical illness rider, accidental death benefit rider, a disability rider, etc. as in all these cases the nominee/policyholder will be paid the insured amount. For example, if the woman is diagnosed with a critical illness such as cardiovascular disease, breast cancer, or cervical cancer, she will be paid the insured amount for the treatment and medications.

Despite the quantum of risks being the same for both the men and the women, still, very few women have insured themselves with a Term insurance plan. Women need to soon realize that taking precautions for financial protection is better than facing the consequences of uncertain incidents. With the necessary rider attached to their Term plan, they can benefit their family in handling such situations at best.

To safeguard yourself and your dear ones against unforeseen situations like death, disease, or disability, you must check out the best term plans available online. These plans not only offer good premium rates but also offer complimentary assistance support during the time of claims. A 30-year-old female can arrange a cover of AED 1 million for as little as AED 500 per year, that’s less than AED 2 a day. Also, making a delay in getting your term plan would make it more expensive so get yourself the right cover immediately and safeguard the future of your loved ones.

-This article is contributed by Neeraj Gupta, CEO, Policybazaar.ae

Disclaimer: All views and opinions expressed in The Brew View – our opinion section – are those of the authors and do not necessarily reflect the official policy or position of TheBrew.ae, the company, or any of its members