We can’t say what happens in next moment in the life. So every person should give security by taking life insurance policy. And we have term policies who give support with less premium. Let’s know about term policies and their benefits…
What is this term policy?
These are different from traditional policies and give insurance for less premium. They decide amount according to policy value and give safety till you pay premium. If you stop paying premium then insurance will be stopped.
Why less premium?
They will not give back the premium paid by us. That’s why insurance agency will not put any investments. So, it collects the premium which helps person not to get the loss. So, by comparing any other insurance policy, term policies have less premium.
Is there any types?
There are many types according policy holder’s needs.
Normal term policy: we can understand this policy very easily. They decide premium based on total policy and period. If he died before policy period then total policy will be paid to nominee.
Increase in value: the person who want to choose according to increasing expenses and responsibilities can take this type of term policies. In this per year or every five years policy value gets increased.
Return premium: in this term policies they give the premium paid by you. But premium is high compared to normal term policy.
What about riders?
There is facility to add riders to primary policy. Need to pay some extra premium after choosing this.
Death by accident: benefit will be received by accidental death benefit rider along with term policy
Disability: disability rider along with term policy.
Without losing income: a rider called income benefit will pay amount for every month to nominee for maximum 10 years.
Directly or through internet?
There are both ways you can directly or can apply online for term policies.
Direct: go to agents and fill all the documents, the premium for this is somewhat high compared to online.
Online: total details will be filled online and premium will be less because there are no service charges.
For how much amount?
Life insurance is intend to, If anything happens to earning person in home that has to save the entire family.
There are no measurements that policy should be taken for certain value only. Decide the policy value based on your annual income, investments, future needs and home, vehicle and personal loans.
Is there any limitations?
If you take insurance,Will you get amount even after the person dies? According to policy the rules will be changed. In some policies benefits will not be given for suicides. In some policies benefits will get after one year from the policy. No claim will be given at the time of wars and terrorist attacks.
If you take policy in our country and went to other countries then let them know the details. It causes some problems if you go to foreign countries without knowing insurance companies.
Don’t hide the details,
Along with normal details give all financial, health and food habits. If you have any pre diseases then let them know. And give other insurance policy details if you have any. Mention smoking and drinking habits.
Some online policies,
LIC e-term, HDFC click to protect, ICICI prudential I protect smart, Max life online term plan plus, SBI life E-income shield, Birla sun life protect at ease, Bajaj Allianz I-secure plan, Reliance online income protect plan, AEGON life I-term insurance plan, Bharti axa E-protect.