Planning for the insurance of oneself or dependent family members is a crucial aspect of for investors looking at wealth creation, according to Chetan Vasudeva, senior vice president – business development at Elephant.in, Alliance Insurance Brokers. This is significant, as it protects the wealth created by investors, he explained. All wealth creation goes in vain, if a person has to spend huge amount of money from the pocket due to some unprecedented event, Vasudeva pointed out. This holds true for health, life, motor, property and other insurance products, which add a protective layer to the assets held by a person. Unfortunately, this wealth protection tool has not yet found the light of the day, Vasudeva said.
People still look at insurance as an optional investment, but they only realise its value during an emergency when a huge amount of savings is spent, he said. While wealth creation tools have become significant in today’s growing economy in India, protecting this wealth is as vital as creating it, he added.