There’s no doubt that term life insurance plans are one of the most affordable and easiest ways to safeguard your beneficiaries in times of an unfortunate situation like your demise.
Here are the reasons why an online term plan is the most suitable choice for you!
1) It is affordable.
Compared to life insurance plans, a term life insurance plan fits everyone’s budget. It is one of the most basic and uncomplicated life insurance. You, as a policyholder, are required to pay regular premiums. But since they are affordable, they do not burden your pockets or add to your expenses. At an affordable price, you can get a massive death benefit payout. Being a straightforward policy, there are no hidden charges or strings.
2) Death Benefit Isn’t Taxable
Just like other life insurance plans, the term insurance plan offers tax-free death benefits. Since you have already paid the tax to the government for the money you pay your premiums with, the death benefit becomes tax-free.
3) Guarantee Assured
When you purchase an offline or online term plan, an agreement is signed with the life insurance company. With this agreement, your term life insurance company is bounded to make payments after the policy matures. You have the right to alter the term life insurance type, career, or reject it without having to pay any penalties to anyone.
4) Money Matters
As per finance experts, when it comes to term plans, you should always set a high return of premium – this is a good way of leveraging a great amount of cash for a certain time period. You will be eligible for the benefit of more than the total premium paid after the policy is matured.
5) Timely Payout
Compared to other types of life insurance policies, it is observed that term insurance plans are the fastest when it comes to processing payouts. Thanks to the term life plan being straightforward and less complicated. The insurance firms have little to no room for debate. They are required to pay out as soon as the claim is registered.
6) Benefits while alive
When it comes to term insurance plans, apart from the death benefit, you enjoy benefits even when you are alive. You can add riders to your policy. You can also choose a “return of premium” option. Thus, if you cross the tenure of your policy and you are alive, then you will get all the amount of premiums paid.
7) Ease of comparing
In India, it has become easier to compare a wide range of term insurance policies and go for the best one. As there is a growth in the competition of insurers, the plans and pricing are very alluring and affordable. You can buy the most suitable plan by getting the quotes easily from all the insurers before making a decision.
8) Versatility & Option To Adapt
Convertibility plays a prominent role as an insured person can get the ability to change his existing term life insurance policy into something different. Your life keeps changing and adapting. The situations can change, and so can your term policy. Obviously, there are limitations as to how you can convert the policy and there’s a cost involved.