6 Top online Term insurance plans in 2020 are like LIC’s e-Term Plan , Bajaj Allianz iSecure Plan, SBI Life- eShield Plan, Max Life Online Term Plan, ICICI Prudential iProtect Smart Plan, HDFC Click 2 Protect Plus, Kotak Mahindra
How Much Term Insurance Do You Need?
Term Insurance is a financial
tool that has gained a lot of popularity recently. In order to meet the
unforeseen circumstances, the breadwinner of the family buys a term insurance
policy with the sole purpose of arranging financial support for his family in
Since it is an important
financial tool, it is important for you to find out as to how much term
insurance you need.
While buying too little life
cover might result in lack of financial self-sustenance in case of the
insured’s death, buying a term insurance that is too high can be a burden for
If the amount of term insurance
cover is too low, the purpose of protecting your family in case of your demise,
is defeated. On the other hand, if the amount of term insurance cover is too
high, it might add an extra burden as you need to pay the premium for the life
cover you have opted for.
When talking about how much term insurance you should buy, then the thumb rule is to a cover that is 10-12 times of your income.
However, there are certain other factors that you need to consider before deciding the sum assured.
The certain things you should
consider for calculating the sum assured are as follows:
opting for a term insurance plan, it is better you calculate your monthly
expenses. Doing so will help you analyze how much amount will your family need
to meet the monthly expenses in case something happens to you.
calculate your monthly expenses and multiply it with 12 to get your annual
from the routine expenses, you should also take into account any loan or any
future expense like the higher education or marriage of your children.
Income: It is always advised that the amount of sum assured should
be at least 10 times of your annual income. This is suggested so that the
amount received from your term insurance policy can act as a replacement of
your income for your family after your demise.
and Assets: Keep in mind the liabilities and assets that you
have when you are calculating the optimum amount of sum assured required by you
for your family.
and savings: To calculate the sum assured of your term
insurance policy take your savings and investments into consideration. This
will give you a better clarity as to what amount of life cover you need for the
financial security of your family.
to purchase term insurance online?
In order to buy term insurance
online, you can follow the below mentioned steps.
of all, visit the official website of the insurer.
on the tab/menu and look for online term insurance plans.
there are more than one policies, then select the policy that you are
interested in buying.
the required details like name, contact number, policy tenure, sum assured,
premium to be paid, etc.
the terms and conditions well and if you are satisfied with them proceed to pay
paying the premium, select the mode of payment.
you make the payment you will receive an acknowledgement if your payment is
few days, your insurer will reach you back and let you know whether your
insurance has been approved or not.
the policy has been approved, you will receive a soft copy of your documents of
Which are the top online term insurance
your convenience, here is a list of top 7 online term insurance plans, which
you can consider buying in case you are planning to but a term insurance for
Term insurance is a financial tool that you can buy to provide the required financial security to your family after your death. It has great benefits and is quite convenient for you to purchase. However, in order to get the maximum benefit of your term insurance plan, make sure that you calculate the amount of sum assured beforehand so that your family is secured in future.
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