By Bedamati Mohapatra (Certified Financial Planner)
Life insurance stands as a beacon of financial security for families, ensuring their well-being even in the absence of a loved one. While this is a well-known fact, what’s often overlooked is the Married Women’s Property (MWP) Act of 1874, which can redefine the way we protect our families.
Under the MWP Act, a life insurance policy takes on an entirely new dimension of security. Here are the key benefits:
Creditor Protection: The MWP Act safeguards the sum assured from creditors and legal attachments, ensuring that the funds are exclusively for the family’s benefit.
Inclusive Eligibility: Residents of India, married men, widowers, and divorcees can all avail themselves of this protection. In case of divorce, children can be named as beneficiaries.
Immutable Beneficiaries: Once beneficiaries are assigned, they cannot be changed. Even in the event of a divorce, the designated beneficiaries remain unchanged.
Flexible Allocation: Beneficiaries can be your wife, children, or a combination of both. You can allocate specific percentages or divide the sum assured equally among them.
Maturity Benefits: Even if you survive the policy term, the maturity proceeds will be paid to your beneficiaries.
Simple Procedure: Securing an insurance policy under the MWP Act is straightforward. All you need to do is include an addendum when applying for the policy.
The MWP Act is not just a legal framework; it’s a celebration of financial freedom and a powerful way to safeguard your family’s future. It’s time to embrace this revolutionary approach to life insurance and provide your loved ones with the ultimate protection.
It’s very much essential for People in Business & in politics as they carry high risk & in some defaulters case their personal property attached but if they do insurance under MWP act that no one can touch the policy & their family will remain secure.
