Only wife and children will get insurance moneyImage Credit source: Freepik
Have you taken any loan? Do you owe someone a debt? Are you very worried about your relatives and you fear that they may grab your money? Then this news is very useful for you. The law of the British era will guarantee you that in the event of your death, your insurance money will be useful only to your wife and children.
Yes, there is a ‘Married Women’s Property Act’ of 1874. In short it is also called MWPA. If you take your term insurance under the ambit of this law, then in the event of your death, only your wife and children will receive the insurance money. Neither relatives will be able to grab it nor any bank or loan company will be able to confiscate it.
How does MWP Act work?
Section 6 of the Married Women’s Property Act ensures that a married woman or her children get the full sum assured of her husband’s insurance. Under this law, neither any lender nor any relative can claim the claim amount of the term insurance policy taken. Not only this, the court also cannot confiscate the money from the policy taken under the MWP Act to repay your loan.
In the case of insurance, the MWP Act works like a trust. In such a situation, only the trustee has control over the policy. Only they can file a claim for this amount. For this, no one who is a participant in the will can claim this amount, this amount is only for the man’s wife and children.
How to buy MWP Act Insurance Policy?
For this you do not have to work very hard. Whenever you buy term insurance, you should ask your insurance advisor about this. There is already an option for this in the form, on which you just have to give your consent by ticking. Another thing to be noted is that if you have taken a policy under MWP Act, then it cannot be changed later.