.png)
Accidents can happen anywhere, anytime, by your own fault or another person. What’s important is to be prepared for such mishaps. This is where Own Damage Car Insurance comes in handy.
Why Life Insurers Are Eyeing Gold and Silver ETFs and What It Means for You
.png)
When life insurance companies start talking about gold, you know something is up. Turns out, these shiny assets are not just great for weddings or Diwali gifts, they are delivering better returns than many of the traditional go-to investment tools. Gold prices have been soaring, and insurance companies want in on the action.
They are asking India’s insurance regulator for permission to invest in gold and silver exchange-traded funds (ETFs). Sounds fancy? What does this sudden gold rush mean for you and your insurance policy? Let’s dig in.
What is an ETF?
An Exchange-Traded Fund, or ETF, is a collection of assets, like gold, stocks, or bonds, that you can invest in through the stock market. A Gold ETF, specifically, follows the price of gold.
So, instead of buying actual gold and stuffing it into a locker, you can invest in it digitally, with zero polishing required. It gives you the value of gold without the risk of your younger cousin accidentally pawning it for that new gaming console.
Why Insurers Are Looking to Invest in ETFs?
Let’s talk numbers. In the past year, gold ETFs have returned over 30%. Compare that to fixed deposits, which usually offer you anything between the range of 5 to 8%, and even Nifty, which has been solid but not glittering. If you were a life insurance company managing long-term money, where would you want to park it?
This is exactly why multiple insurance companies are nudging the Insurance Regulatory and Development Authority of India (IRDAI), asking for a green signal to include gold and silver ETFs in their investment mix. With new investment regulation norms under review and solid historical returns, the timing could not be shinier.
How Does This Affect You as a Policyholder?
Here’s where it gets real for you. When insurance companies earn more from smart investments in gold and silver ETFs, your policy could give you more in return. You can think of better bonuses, higher maturity values, and maybe even lower premiums in the long run. If gold keeps performing like it has, you benefit from your insurance plan. Plain and simple.
Plus, gold is a solid bet during market volatility. So, if your insurer adds gold ETFs into their investment mix, it gives your money some much-needed stability. It is like having an emergency protein bar in your backpack, comforting when everything else feels shaky.
Author Bio
Paybima Team
Paybima is an Indian insurance aggregator on a mission to make insurance simple for people. Paybima is the Digital arm of the already established and trusted Mahindra Insurance Brokers Ltd., a reputed name in the insurance broking industry with 21 years of experience. Paybima promises you the easy-to-access online platform to buy insurance policies, and also extend their unrelented assistance with all your policy related queries and services.
Other Health Insurance Products
Latest Post
The no claim bonus (NCB) in bike insurance is a very handy benefit that allows you to save money on your overall motor insurance costs. The bike insurance provider rewards you for not making a claim by offering a discount on the premium of the following year.
.png)
When it comes to medical emergencies, the last thing you want to worry about is arranging money for hospital bills. That’s where a health insurance claim comes in handy. Health insurance allows you to either get your expenses reimbursed later or, in many cases, get treated without paying upfront through a cashless facility.
Health insurance plans often come with terms that sound like they belong in a secret financial club. One such term is “co-pay.” You might have seen it in your policy document and quietly ignored it, hoping it won’t matter until you actually need to claim. But here’s the twist: co-pay can directly affect how much premium you pay each year.
Speak to our Advisor
+91
By clicking the button, I authorize Paybima advisor to contact me via SMS, Email, Phone, WhatsApp or any other modes overriding my 'DND'.T&C Apply.