Life Insurances 275 views
When it comes to term insurance plans, there is a little confusion about them is that they are one of the cheapest ways to protect the family when something worst happens. Moreover, because of the implementation of the new taxes on these insurance policies, it would not be wrong to say that the prices of the premium have also increased considerably. But, if you still compare the policies from both public as well as private sector companies in the country, it is still possible to crack a deal which is both profitable as well as perfect to meet your needs.
So, for your reference, below are the reasons that will make investing in online term life insurance an ideal choice for you.
- It is Affordable
Well as far as term insurance plan is concerned, it is always expected to suit your pocket/budget. In fact, it is also one of the most basic and simplest forms of life insurance in India, offering return on premium. Being a policyholder, you only need to pay the monthly premium according to your affordability. Here, the insurance company will itself fix the death benefit amount as per the premium.
- Tax Free Death Benefit
Just like any other life insurance policy, the term insurance plan also gives tax free death benefit to the nominee of the policyholder. Once the premiums are paid with money for which you have already paid the tax to the government, there is no denying on the fact that no tax is levied further upon the benefit amount. But, there are certain instances that might make it to be counted as a taxable income.
- Guaranteed Built in
Usually, when you purchase an offline or online term life insurance, you need to sign an agreement with the company in order to make that insurance company legally liable so as to make the payments after the policy gets matured. But, being a policyholder, you still have the power to change your policy type or in fact the policy career, and you can also drop it off completely without being accountable for paying the penalty amount, if any.
- Leverage of Cash
Experts usually consider high return of premium of term life insurance as it is surely a great way of leveraging a considerable amount of cash over a limited duration of time. Moreover, the benefit is entitled to after the policy gets matured is actually a few times more than the total premium being paid.
- Payout in Time
Furthermore, among all the different types of life insurance plans being available in country like India, it would not be wrong to say that term insurance plans are found to be the fastest paying type among all. And, this is majorly because of the simplicity of the insurance policy and as there is little to debate on for the insurance companies that they are obliged to pay up as soon as the claim is being made.
- Living benefits
Moreover, apart from death benefit, these term life insurance plans carry different living benefits also. Here, the living benefit rider plays a pivotal role on return of term life insurance policies.
- Easy access to insurance quotes
In a country like India, the term life insurance industry has become very competitive, especially from the last few years, and different careers are also offering a wide variety of plans as well as policies, offering the free quotes to the respective customers.
- Look at Your Return
Once you have started investing in an online term life insurance policy, you know what you will exactly get in return on your investment. Well, this thing considerably minimizes the risk factor, and makes the term life insurance one of the ideal investment options in India.
- Take Care of Your Health
Your health is also a big concern at a time of applying the insurance and anything that happens to you afterwards will be covered by the insurance policy.
Convertibility is also a major factor that you need to consider. A policyholder becomes capable of converting his existing policy to something else that depends upon the changing situations, but there are certain restrictions related to conversion cost, time-period and also the converted amount.