Insurance is a way of managing risks. When you buy insurance, you transfer the cost of a potential loss to the insurance company in exchange for a fee, known as the premium. Insurance companies invest these funds securely, so it can grow, and pay out when there’s a claim.

Why do I need insurance?

Meet the family, Mr Happy (40 Years old), his wife (36 years old) a home maker and their Son Master Smiley (10 years old). Mr Happy is working as a senior manager and presently drawing an annual salary of Rs 20 Lakh. He is doing fine financially and recently bought a flat for Rs 60 Lakh with total debt of Rs 30 lac.

Mr Happy was earning well and never felt the need of insurance but he was not able to foresee the potential risk he was taking.

Scenario 1: None of us know what lies around the corner; In an unforeseen event of Mr Happy death, his family would be in financial distress. How his family would manage outstanding debt, Smiley’s education, meeting family expenses.

Scenario 2: Mr Happy health deteriorates and has been diagnosed with critical illness , he would not be able to continue his job. Loss of earning, significant medical bill will bring down family financial health.

Scenario 3: Mr Happy house got fired and the value of the recently purchased house declined significantly; Now Mr Happy has to shell out significant amount to fix the house No one wants bad thing  happen to them; However life is very uncertain and becomes is unpredictable and its always better to manage the potential financial risk and be prepared for unforeseen event Insurance keeps you and your family prepared for the financial losses arising from unexpected event.

Types of Insurance ()

      1) Life Insurance                                 

      2) Health Insurance                         

      3) General Insurance

Benefits of Insurance( )


Insurance is an instrument for managing risk. Suitable coverage can could provide the required protection and can prepare you and your family to manage financial losses due to unexpected negative events. Insurance can be used as an investment tool for planning long term goals such as retirement, kids education, kids marriage requirements. Insurance are tax efficient instruments.

Feel free to get in touch with MERA fund advisors to know the appropriate cover and appropriate product you should have, so that you and your family are well protected financially from unexpected risk.