What is a Term Insurance Plan?
A term insurance plan is one of the best insurance plans to invest in today’s time. In this plan, you pay a certain amount of premiums to your insurance provider. In return, your family will get a lump sum amount of sum assured in case of an unforeseen and untimely mishap, such as your demise within the policy term.
There are various benefits of investing in a term insurance plan. Let us see a few of them.
1. Death Benefits
The term insurance plan provides lump-sum death benefits to your family in case of an unforeseen and untimely death of the policyholder. This ensures that your loved ones do not face any financial constraints even in your absence.
2. Tax Benefits
The premiums paid by the policyholder for the term insurance plan are eligible for tax benefits under Section 80C of the Income Tax Act, 1961, subject to the conditions laid down therein. However, tax laws are subject to change from time to time.
3. Rider Benefits
Instead of investing in a new insurance policy to get other benefits, a term insurance plan gives you the benefit of investing in riders. Rider benefits include accidental death benefits, critical health benefits waiver benefits and more. Please note that riders are not mandatory and are available at additional cost.
4. Financial Security
One of the crucial advantages of investing in a term insurance plan is that it provides financial security to you and your loved ones. With this, you do not have to worry about any financial burden in case of any unfortunate mishaps.
We all know that the Covid-19 pandemic has made everything digital. Everything has come online, from online education to investing in an insurance policy. Before you invest in an online term plan, there are a few things that you should keep in mind. Moreover, we all know that there are various online term plans available. Therefore, it is crucial to go for one of the best online term plans that perfectly suits you and your loved ones.
Looking for the Best Online Term Plan? Here are 6 Things to Keep in Mind
1. Investing at an Early Age is Beneficial
While we are young and hustling, we might think that we do not require to invest in a term insurance plan. Well, here’s a catch. Did you know that investing in an online term plan is much more beneficial as compared to investing at a later age? The premiums you pay for the term plan are much cheaper and more affordable at a younger age as compared to an older age.
2. Choose a Cover That Suits You and Your Loved Ones
Before you invest in an online term plan, it is essential to choose a life cover that suits yours and your family’s financial requirements. Planning it out in advance ensures that you do not face any hassle in future.
3. Avail the Rider Benefits
No one wants to invest in multiple term insurance plans, right? Here’s a solution for you. Most online term plans offer additional rider benefits such as accidental death, critical health, and more in the form of add-ons called riders. Opting for rider benefits ensures that you do not have to invest in multiple term plans to avail of various benefits. Please note that riders are not mandatory and are available at additional cost.
4. Go For a Leading and a Trustworthy Company
While choosing the best online term plan is essential, it is also essential to go for a trusted, leading, and top-rated life insurance provider. You should go for an insurance company that provides ideal online term plans and ensures that you and your loved ones do not face any financial constraints and can seamlessly achieve your goals and dreams.
5. How Will You Pay the Premiums?
Before investing in an online term plan, it is imperative to know how much premiums and how will you be paying the same. You can pay the premiums monthly, quarterly, and yearly, depending on what suits you the best.
Investing in an online term plan has become essential in today’s unprecedented and unforeseen circumstances. An online term plan furthermore ensures that you and your loved ones do not face any financial constraints and can achieve all your goals without facing any hassle and can be at peace of mind.