Term Insurance

Term Insurance is a life insurance policy that offers coverage for a fixed number of years – the “term” of the policy. If the insured individual dies when the policy is active, a death benefit is paid to the nominees of the insured individual.

• Low premium and attractively large cover
• Financial dependents are protected
• Insure your assets
• Riders

• Low premium and attractively large cover
• Financial dependents are protected
• Insure your assets
• Riders

• High protection at low premiums
• Add ons (Accidental Benefit, Permanent disability, Critical Illness Etc…)
• Financial security

Term plans work like limited life insurance policies. They provide life cover for a specific time. To enjoy the life cover, you must pay premiums at regular intervals. If anything happens to you, the policyholder, during the policy tenure, your nominee receives the promised sum assured as the policy payout. To enhance your family’s financial protection, you can choose to purchase riders or add-ons.

Who Should Buy a Term Insurance?

Parents , Young Peoples, Newly-weds, Working Women, Taxpayers, Retirees etc…

• To Protect Your Assets
• To Protect Your Family
• To Cope with New Lifestyle Risks

Types of Term Plan

• Pure level term insurance plan
• Return of premium plan
• Increasing sum assured plan
• Term insurance plan with income benefit

Understanding the ideal sum assured amount can seem difficult. Most experts advise term insurance policyholders to opt for a sum assured that is at least 10 times their annual income. If you have the means to, you should pick anywhere between 15 to 20 times your annual income to account for inflation. Over and above this amount, you need to consider your financial liabilities – outstanding loan amounts and other EMIs. Assume you earn INR 12 lakhs every year and have INR 45 lakhs left on your home loan payments. You should opt for a minimum sum assured of (12,00,000 x 10) + 45,00,000 = INR 1,20,00,000 + 45,00,000 = INR 1,65,00,000.

Term policies are the most affordable type of life insurance plan. They offer life coverage in exchange for minimal premium amounts that you can choose to pay monthly, quarterly or annually. Depending on your needs, you can add riders like critical illness or accidental death or disability to your policy. By doing this, you can enhance the financial payout that your family receives in case anything happens to you, the policyholder. In the unfortunate event of the demise of the policyholder, the nominee receives the sum assured, which they can use to clear outstanding debts or take care of day-to-day expenses. As the policyholder, you can decide how you want your family to receive the payout – either as a single lump-sum or with monthly installments that can help them deal with long-term EMIs or even inflation. With a term plan, you ensure that your family doesn’t have to struggle financially if they were to suddenly lose you and everything you contribute to their lives.