Whatsapp Icon

Tips to Compare Online Term Policies in India

Tips to Compare Online Term Policies in India

Term insurance is one plan that can protect you and your loved ones against financial hardships caused by unforeseen occurrences like illness, incapacity, or death. If you have financial responsibilities, you might want to compare term policies to find the best term insurance online.

Did you know there are several factors you can keep in mind while comparing term policies? If not, don’t worry. Keep reading this article as we explain everything you need to compare term plans and select a plan tailored to your needs.

So, let’s get started!

Examine your financial requirements

The first thing to remember is to keep in mind your family's future financial demands, such as money for children's higher education, loan repayment, regular bills, etc.

Select the appropriate level of protection

In case of your demise, the sum you choose will be received by your family in the future. As a result, it's critical to evaluate your family's current and future financial demands when selecting coverage and to compare term policies. Your annual income, lifestyle, duties, and liabilities determine the quantity of coverage you receive.

Examine the policy's terms

You must compare term policies and choose one corresponding to the age range you want term insurance coverage.

Look into add-on riders.

Examine the various possibilities for riders to include in a e-term policy and select the most appropriate rider benefit for your needs. This is quite an important factor that must be looked at when comparing term life insurance policies.

Select a payment method.

In most term insurance plans, there are three premium payment choices. These are the following :

  • Make monthly, quarterly, half-yearly, or yearly payments with the regular payment option. Most people recommend the premium payment option.
  • Limited payment option : Pay the premium over a set length of time, such as 5 or 10 years, throughout the entire insurance duration.
  • Options for a single payment : Make a single, total payment for the plan's entire premium amount.

Choose a reputable term insurance provider

You must contrast and comparing term policies and firms before purchasing a term plan from one that has a solid financial history and market reputation. Choose a firm that has a high claim settlement ratio and a simple claim process.

Choose a method of payment.

The payment option you choose when buying a policy determines how the death benefit is distributed to your nominee, and there are four kinds of death benefit payout options :

Lump sum

The lump sum payment will be made to the claimant's family. In other words, the entire money will be paid in one lump sum.

Monthly Income

In this payout option, the claimant's family will be paid in monthly instalments the whole amount guaranteed. For example, for an amount assured of Rs. 1.2 crores, Rs. 1 lakh will be paid every month for the next ten years.

Lump-sum + Monthly Income

After the insured's death, the claimant's family will get 50% to 70% of the promised amount, with the remainder paid in monthly payments.

Increasing Monthly Income

The claimant's family will receive the whole sum insured in monthly instalments that will increase with time. The instalments grow by 10%-20% yearly to assist the dependents in combating inflation. For example, if the policyholder's family receives Rs.1,00,000 per month and the rising percentage is 10%, the family will receive Rs.1,10,000 per month the next year.

Get the best term insurance plan

Now you know all the factors that need to be looked for when comparing term policies. One of the best insurance providers you can check out is Bharti AXA Life Insurance since it is well-reputed and trustworthy.

If you have been comparing term policies for a while, then you know that there are a lot of options out there. You must find a plan that is best suited to your needs, and Bharti AXA Life Insurance would help you do so with experienced professionals to guide you through every step.

For more information, get in touch with us today!

Disclaimer :

*Tax benefits are as per the Income Tax Act, 1961, and are subject to any amendments made thereto from time to time’

The article is meant to be general and informative in nature and should not be construed as solicitation material. Please read the related product brochures for exclusions, terms and conditions, warranties, etc. carefully before concluding a sale.
Make responsible financial decisions. Consult with your financial advisor before making any decisions on insurance purchase.

Suggested Plans

Bharti AXA Life Wealth Pro

  • An Individual Linked life cover with Insurance cum Savings Plan.
  • Choose a Variant: The plan offers you two variants to choose from a) Growth Variant b) Legacy variant
  • Grow your wealth further with Wealth booster
  • Multiple Investment Strategies to suit your investment needs
  • Tax benefits

Bharti AXA Life Guaranteed Wealth Pro

  • A non-linked, non-participating individual savings life insurance plan
  • Flexibility to choose the payout structure
  • Multiple income options
  • Option to receive tax free income beginning from the second policy year itself
  • Option to get lifelong income along with life cover till 100 years of age

Bharti AXA Life Flexi Term Pro

  • A Non-linked, Individual, Non-participating Pure Risk Premium Life Insurance policy
  • The plan offers two options: Without Return of Premium and With Return of Premium
  • Under the Without Return of Premium variant, you have the option between Single Life cover or Joint Life Cover i.e., cover for your spouse under the same policy.
  • Flexibility in policy and premium payment terms