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Importance of life assurance Everyone invests their hard earned money in asset purchase like luxury car and home. But most of them neglect to invest in life insurance because this investment will be in effect after their demise. However, some of them who believe that their family plays an important role prefer opting for life insurance. The individuals who not only live in present but also think about future, consider giving significance to insurance so that it is assured that the family and loved ones will live effective after they are long gone.