A term policy is a type of life insurance product that guarantees death payout to the beneficiaries/nominees upon the death of the policyholder during the policy term, upon approval from the insurer. In exchange for this guarantee, a specific sum of money is deducted at fixed intervals.
Term policy provides financial coverage (sum assured) to the family members at the time of the policyholder’s death. This type of life insurance covers your family from the death risk for a limited time called a policy term. Simply means, this plan takes care of your dependents in such times of crisis.
Life Cover + Increasing Monthly Income
It is a pure term plan which pays a fixed amount to the family of the insured + a fixed sum every month payable for 10 years that keeps rising by 10% every year to account for the rising living cost. Under this cover, 100% of the sum assured is paid in a lump sum.
A term insurance plan will help the family to meet their day to day expenses and accomplish the long-term financial goals too. Yes, it is worth buying a term insurance policy no matter what year it is. When compared to other types of life insurance products, a term insurance policy is much beneficial.
Term insurance plans offer financial security for the entire family in case of the unfortunate death of the policyholder. Also, you can get optional coverage for critical illnesses or accidental death. You are covered for a long duration, while the premiums are affordable.
