While thinking about providing financial security to your family members, a term life insurance plays a major role. This plan provides financial support to the beneficiaries of the insured person if something unexpected happens to the insurance policyholder during the policy term. The beneficiary can claim death benefit from the insurance company. The company makes payment to the beneficiary whether in the lump sum amount or a combination of lump sum and monthly amount as per the requirement.
The plan gives a wide range of solutions mostly tailored to fit different situations. Compare all the features and then settle for the best one that suits your need:
Single premium option allows you to pay all the premiums as a lump sum amount in one go
Accidental death benefit pays an additional sum assured in case of an accidental death of the policyholder
Critical illness benefit pays an additional sum assured or a part of the sum assured if the policyholder is diagnosed with a critical illness.
A monthly payment along with a portion of sum assured in your absence and ensures it is tax-free
Flexibility to choose the right plan that suits your needs is necessary
The lowest premium will not always give the value for money. Cheap doesn’t have to be the best option.
Plan according to your age which means the plan when you are single and young doesn’t have to be similar when you are nearly to your retirement age
Ease to access from any place or device you are comfortable at, from where you can view all the term end plans.
Advantages of Term End Insurance
An insurance policy is the most reliable friend in terms of taking care of the financial independence of you and your family in your absence. Some of the major benefits of the term end insurance are:
Get a lump sum amount from the company in case of any uncertainty like sudden death
Takes care of your liabilities and loans
Provides money for the family to maintain their lifestyle
The policy takes care of you in case of disability or critical illness
Get a lump sum amount which is tax-free
Provides a supplementary income if any critical illness or disability occurs
You will be insured with an additional sum in case of sudden accidental death
Do’s and Don’ts of Term Life Insurance
There are a number of reasons and features to consider before you buy a plan by various providers. Some of the important things you should keep in mind before you buy a term life insurance are:
Plan before you buy: Think about the reasons behind opting an insurance and also the requirement and expectation.
Market research: With the wide range of available plans in the market, it becomes difficult to choose the best out of the options available. Do an extensive research of the current policies from different companies which fulfills an individual’s requirement.
Take advice patiently: Seek and receive advice for your new plan with patience and be open-minded with the information you get.
Form fill up: Fill out the proposal form carefully with truth and sincerity to avoid any kind of dispute during the time of claiming the amount
Read the policy: Go through the policy terms and conditions thoroughly before you sign a plan, which will reduce any misunderstanding in future
Compare plans: Always try to compare various plans and take the suitable one to boost up your benefit.
Seek feedback: Seek feedback from family and friends to be satisfied before jumping to one conclusion
Disclose any pre-existing diseases: Always disclose your pre-existing diseases if any, to avoid any misconception.
Renew plan timely: Remember to renew your plan in a timely manner to enjoy the benefits of both policy and life.
Don’t invest unless you understand the policy: First of all, if you can understand each aspect, terms, and conditions of the policy then only go for it, otherwise don’t buy.
Don’t buy in case you’re confused: Always research by yourself, meet the experts or insurance agents to get a clear picture of the insurance policy, if in doubt don’t hesitate to ask.
Don’t postpone renewal: Do not delay the renewal of the term life insurance or the policy coverage may no longer be in use and you lose the existing plan.