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Is 1 Crore Term Insurance Worth the Investment?

Can I Afford a 1 Crore Term Insurance Premium in India

The real world is harsh and living in it with dignity requires a strong financial base. If you are the sole breadwinner of your family, then any fateful incident can leave your loved ones in a financial lurch. As the provider of the family, it is your responsibility to protect their interests for their lives, and term insurance for 1 crore can help you do that.

Do I need term insurance for 1 crore?

Every person wants to be the provider and the protector for their families. You work hard, day and night, to realize their dreams and aspirations. But in uncertain times – with a global pandemic, lifestyle diseases, accidents, etc. – the longevity of life is always in doubt.

With a high sum assured, say a term life insurance for 1 crore, you can rest assured that your family would be able to live a dignified life, even after you.

Many employers offer their employees a group life insurance cover. And you might also have a traditional life insurance plan. So, is it advisable for you to get a separate term life insurance for 1 crore?

In one word, yes. Let us elaborate with logical reasons.

Inadequate cover

The first and foremost reason is that the total cover you may have through other policies may still be inadequate for your family to depend on.

But you are forgetting many things :

  • Inflation will eat away your income faster than you can imagine.
  • If there is a substantial liability in the form of business loans or home loans, then most of your claim proceedings may go to your creditors, leaving nothing for your family.
  • As your parents and spouse grow older, their medical expenses will increase.
  • As your kids mature, their education and other expenditures will balloon.

Coverage is available with the Job

A corporate group life insurance is a great tool to avail additional cover. But for the foundational protection, you must insure yourself by buying term insurance for 1 crore rupees. Once you are out of a job, the company insurance ceases to exist.

Custom-made plan

Most group life insurance policies are made to fulfil regulatory requirements. Many a time, the life insurance cover is a standard plan for all employees – from the least paid to the CEOs. Such an insurance cover is as good as non-existent in your overall scheme of things. By going online and searching for the best term plan for 1 crore, you may get many customization options.

Can I afford a 1 crore term insurance premium?

As term insurance plans are pure insurance – with no investment components – almost all your premium money goes toward mortality charges. Add to it the availability of online term insurance for 1 crore, and you can eliminate high administrative and distribution charges. Pure term insurance makes it the simplest and cheapest 1 crore term life insurance cover.

The affordable premium helps you ensure financial well-being for your parents, spouse, and children till the time they become independent. With as low as Rs. 9,086 for a 1 crore term insurance premium per annum, you can get peace of mind.

How and when should I buy Term Insurance for 1 Crore?

Like most financial good habits, it is better that you take cover as soon as you start working. You must at least get a 1 crore term life insurance when you get married. Marriage means dependents and protection for them. So, get your 1 crore term insurance from a reputable insurance company.


*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 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