During the tax-saving season, insurance agents push life insurance policies with guaranteed returns and tax benefits.
These plans might seem appealing, but they're just endowment policies in disguise.
Though endowment plans combine insurance and investment, they offer inadequate coverage and lower returns.
Keep insurance and investment separate. Don't be lured by the promises of dual benefits.
1) Opt for a term plan. They are an affordable kind of a life insurance policy. 2) To save tax, opt for tax-saving mutual funds.