Family means the backbone to every individual. After a hard day at work, we always feel it so comforting to get back to our loved ones, to the ones we call our family. And likewise ensuring their safety and wellbeing has always been our first priority. It’s a responsibility of every breadwinner of the family to safeguard the loved ones in their absence. And a term insurance policy is one of the best options one can get at an affordable price with the best features.
What is a Term Insurance policy?
In very simple terms, a term insurance policy is a category of life insurance which provides coverage to the policy holder for a certain period of time. If the policy holder unfortunately suffers a sudden death during the term of the policy, the insurer pays out the assured sum. However, no money is paid out in case the policy holder outlives the policy term.
So you may ask how the term insurance policy is beneficial. Since we all strive to lead a healthy life, the policy holder is not receiving a single penny if he outlives the term. The answer is summed in few simple benefits of a term insurance plan.
- A term insurance plan can be renewed before its expiry for another fixed term. Usually 10, 20 or 30 years is preferred.
- It helps you save on taxes.
- It comes with additional riders which would help you and your family during the time of crisis.
- It is affordable and has attractive offers for people with healthy lifestyle habits.
Protecting your family with online Term Insurance plan:
Though the emotional loss that comes with a loved one’s untimely death is irreplaceable, we must better make the situation stable in financial terms for any such unfortunate period.
A term insurance plan is the best option you can choose for your family for any such time of crisis. More when you are the sole breadwinner of the family. Let’s take a look at it how.
- Waiver of premium:In case of a physical disability of the policy holder due to some accident or otherwise, the insurer waives off any future premium towards the policy while keeping the policy intact. This means, in situation where you have lost the capacity to work and earn, your family does not have to bear the burden of paying the premium towards the policy. However the term insurance plan still remains intact and the assured sum gets paid out to your family in case of your unfortunate demise.
- Accidental Death Benefit: This benefit is extended towards your family against payment of extra premium, like other riders of a term insurance plan. The benefit of receiving an extra sum along with the sum assured is extended to your family in case of your sudden demise due to an accident. However, if the policy holder dies a natural death while the plan is still valid and ongoing, the family receives only the assured sum.
- Critical Illness Rider: Perhaps one of the most important features of a term insurance plan. This rider again comes with payment of additional payment of premium and provides coverage to the policy holder right from the time of being diagnosed with a critical illness. The plan also covers all medical and non-medical expenses like changes made to the lifestyle- inclusion of a wheelchair.
- Return of Premium: As the name suggests, this particular rider returns all the premiums paid to the policy holder in case the policy holder outlives the period of the term insurance
A term insurance plan has multiple features that you can customize according to your needs making sure the paid out sum to your family covers all your debts in your absence, provides them with financial stability and makes life easy for them even in your absence or loss of income. Thus a term insurance plan should always be a key factor to consider in your financial planning.
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