Best Insurance cover for 18 years?

Question

Kindly tell me a way so that I can ensure a fix monthly income of 20,000 Rs. What is the easiest way to achieve this ? MF ? LIC ? What should be my investment every month and for how many months ? Thanks..

Answer 1

I think what you want is an annuity.  The cost of an annuity is highly dependeant on interest rates, which fluctuate. Talk to your bank or insurance company, they know what they sell.

Answer 2

to determine this you need to give more information, primarily the rate of interest.  The rate of interest you decide to base this calculation on is, of course, based on the investment you choose.  (i.e. you would use a rate higher on a MF then you would on a period certain annuity).  That said, one way to GUARANTEE you get the exact payment for those years is to purchase what is called a SPIA.  (Single Premium Immediate Annuity).  They are sold through life insurance companies.  you would deposit an amount,  (likely somewhere around 300,000Rs or so) and be guaranteed that for 18 years. best of luck.