Set your financial life in order – Avoid problems for your dependents

A new study has shown a spike in the mortality rates in the 45-54 age group in India. Here is what you need to do at the earliest to avoid problems for your dependents.

  1. Store passwords

For most of our financial transactions such as banking, income tax returns, utility bill payments, insurance premium payments and other investments we use passwords. Make a hard copy of all the usernames and passwords and put it in a locker. Keep your spouse in the loop.

  1. Appoint nominees

Appointing nominees for your bank account, insurance policy or for other investments makes the process of passing on benefits or assets very smooth.

  1. Buy a critical illness cover

It’s important to not just have health insurance, but also a critical illness cover because of the rising rates of illnesses like cancer and cardiac diseases. These plans provide a lump sum on diagnosis and funds for long-term treatment.

  1. Complete your paperwork

First, prepare a will and next prepare a list of all acquired assets, ongoing investments, and liabilities.

  1. Cover your loans

Big loans such as home loan could saddle your dependents with a huge burden after your death. Make sure that your life insurance covers all your loans as well.