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Myths About Term Insurance Debunked

Term Insurance

Term Insurance Plans are the most cost-effective way of getting your life Insured.It has so many advantages, but still, when it comes to buying a term insurance plan, people always give it a second thought. This is due to many myths that surround term insurance plans. Here, we have busted some common myths about term plans, so that the insurance seekers can find the simplest and the most economical solution for getting life cover.

Common Myths Debunked

  1. Term policies are complicated

    Actually, term insurance plans are very simple to understand, since they are not a part of what is called a cash value plan. This entails no complications related to keeping track of how much money goes into risk coverage, how much into policy loan repayment and how much gets invested back for creating a savings pool. You just need to know the period for which you want to get cover and pay the premium accordingly. This is why you can even buy term insurance online very easily.

  2. I'm young and healthy; I don't need an insurance plan

    Insurance is not about just today, it is about planning ahead. In case you have any debts, like a car loan or home loan riding on your back, it is advisable to have a term insurance plan. By covering your life, term insurance helps by creating a corpus ready in case of any accident or premature death. It will enable your nominee to pay off your debts easily.

  3. Term plans are expensive

    Since the concept of these plans remains essentially similar for different insurance companies, they become easy to compare. This feature drives competitive pricing of various policies and therefore compared to cash value plans, these are cheaper. Moreover, now with the availability of online term insurance plans, the agent's commission is also removed from the equation and customers can get even better deals.

  4. Term insurance is only meant for death coverage

    This is not true. In fact, majority of companies offer additional riders that you can choose to customise a plan best suited for you. There are various additional benefit covers to choose from, such as disability, accident or critical illness. One can also choose a return of premium term plan, which ensures that you get back all the premiums you paid, in case you outlive the policy tenure.

  5. Online term policy will not give me claim settlement

    If you fill all the information correctly, pay the premium on time, check details for extra riders you might need and get a medical checkup done, there is no reason that the company won't settle your claim. Just make sure to check the claim settlement ratio of the company to get an idea about its background. For instance, Bharti AXA provides easy steps to claim and track settlements online, reducing the customer burden.


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

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