Why would you need to have a Term Insurance

by | Jul 7, 2021 | Financial Planning, Uncategorized | 0 comments

If you are planning to purchase the term insurance plans then yes, you have made the right choice and you should go forward. The right choice of a term insurance plan provides you financial protection and most importantly it secures the future of your family.

Life is full of twists and turns which also befits the old saying ‘Always Expect the Unexpected from Life.’ So, you should always cautious about the risks like critical illness, hospitalization, and accidental disability as well. These dangers make the term insurance important for you to look beyond the traditional need.

The chances of unexpected dangers at any stage of your life can never be ignored. In these times, exorbitant expenses may occur in your health, family welfare, and the study of children or any other expenses. So, if you are the only earning member of the family, critical illness can push your savings down south.

Financial worries can also impact your growth. The answer to all these dilemmas is ‘Term Insurance.’ But before starting to purchase the term insurance plan, you should know all about this.

Here we are going to give you the most significant approaches and benefits that will definitely help and attract you while buying any term insurance plan


Importance of Insurance

Details on the Term Insurance

Benefits of Term Insurance –

Easy payment terms –

Usually, term insurance policies give options for premium payment and death benefits. So, if you are unable to afford a lump sum amount to pay for term insurance due to the cash crunch then you can split your lump sum amount into 12 monthly installments or four quarterly payments, or even two half-yearly installments as well.

In the term insurance plan, the great advantage is the death benefit which can be received by your nominee in a lump sum or in a number of amounts.

If you are going to purchase the term insurance online then you will have multiple options to show and related benefits that you can explore, before making the final purchase of the term policy.

Lump-Sum Payment

After purchasing the term insurance plan, the biggest benefit is the lump sum payment that he/she gets during his/her emergency or critical period. This financial support helps you in both hospitalization expenses as well. The money which you receive helps you to put your mind at ease about the medical expenses involved.

Get rid of Deductions –

One of the biggest benefits of purchasing the term plan is that on the diagnosis of the covered critical illness, the entire benefit amount is paid in full.

Most importantly, there are not any deductions during your entire coverage amount, unlike any other investment plan. So if you are promised to pay the 10 lakh rupees after that period then you will be paid this full amount without any deductions.



Tips for Purchasing the Term Plans –

Online Purchase –

In the era of the digital world, all insurers offer the easy option of buying a term plan with various attractive schemes. So if you are buying the term plans online then it will be many benefits, such as cheaper premium and complete privacy for your term plan.

Also, the term plan is available after a click, and buying a term insurance policy online can happen in just 5 minutes.

During the registration, you should keep all the related documents together while filling in the information such as nominee, date of birth, some basic data like your medical history, your employment status, and most importantly the stable internet connection during the process.

Also, the purchase of term insurance can be done in the privacy of your home and without any external help. By choosing a long policy term, one can ensure that the rate of the annual premium is constant for the upcoming years or not. The great benefit of purchasing term insurance online is that you can calculate your premium online using the calculator which is given in most term insurance sites.

Regular Premiums

This is one of the feature tips that you should check before purchasing any term insurance plan. The premiums for must be remained the same throughout the term, whereas the premiums for term Insurance Plans would change every year on policy renewal which is based on your age.

Talk to the Expert Team

You must be interested in our article on Why Should I need to have a Financial Planner

In this digital era, there is still a confusing subject and the person does not feel the need to speak with an expert to get clarity on their doubts. Also, only the paper materials are not enough to clear their doubts about taking the right decision.

So, if you want to make things easier before purchasing the term plans then you should speak to the particular term insurance company’s agents and they are always ready to answer all your queries and assist you in making this important decision. Nowadays, term plans have become mandatory to your financial portfolio because they are simple, easy to understand, and can take care of your financial needs to a very large extent.

Must Read Terms and Conditions –

This is the mandatory thing for all before purchasing any insurance product so must go to the terms and conditions. Also, make sure that the particular company has mentioned its terms and conditions apparently which must be easier to read the details and understand the subject matter.

Moreover, you should also compare the different insurance company’s products which are listed on that website by which you will get to know their differences and the benefits which are offered by each one of them. This thing will also help you in making the decision clear and quicker.

Pre-Existing Conditions

Before choosing any term insurance plan you should carefully read the pre-existing conditions of that insurer. Also, you should know about the waiting period applied to pre-existing diseases before they are covered before purchasing any term plan.

So, all in all, you can’t go plain in your life because our life is undetermined. We never know what will happen to us tomorrow or what the future has in store for us.

So, now it becomes important to get prepared for whatever we can. Term Insurance is a plan that secures your future so you must go to these various plans that help you in any critical stage of your life and your family’s life.