A STUDY ON POLICY HOLDERS PREFERENCE TOWARDS LIFE INSURANCE POLICY IN ERODE DISTRICT

Abstract

Insurance is basically working on the principle of ‘many sharing the loss of a few’.  People facing common risks come together and make small contributions to a common fund and it can be called a co-operative venture.  Insurance is also an effective risk management tool.  The responsibility of taking care of the family, ensuring the security of the family are shifted from the shoulders of an individual to the life insurance companies since it curtails risk and substitutes certainty for uncertainty in human life.  Life is a roller coaster ride and is full of twists and turns, one cannot take anything for granted in life.  Life insurance policy helps in not only mitigating risk but also provides a financial cushion against adverse financial burdens suffered.  A life insurance policy is distinct from other financial instruments because of the risk cover provided.  It is one of the basic needs of an individual; every individual for his own sake and for the sake of his family should invest in life insurance.  Life insurance provides for risk, life and health cover, investment, savings and tax shelter. This study Aims to findout to identity the Satifaction level of the policy holders in Erode District.