If you go by the popularity, term plans have come a long way in the past few years. The sheer simplicity and ability to focus only on one aspect have sought a lot of buyers for it. Given its immense popularity, most of the insurers now sell term plans online. It helps them cut down the insurance price by 30-40%. This makes an already affordable plan even more affordable.
A term plan provides you with life cover for a predefined number of years.The absence of any cash value helps it cut down the costs tremendously. Nominees of the policy holder stand to benefit financially only from one condition. If the policy holder passes away while the policy is active, the nominees will receive the sum assured.
Best Term Plans
A terminsurance plan provides you unparalleled features and benefits. They let you pick up a plan for a duration as low as 5 years or as high as 35 years. You can pick up a plan and then decide how much sum assured you need. Most of the term plans in the country let you convert them into a permanent life insurance at a later point.
Here are some of the best term plans that you can invest your money in. Do keep in mind these are online plans and going online has its own advantages.
- LIC e-Term
- This plan has a minimum entry age of 18 years and maximum age of 60 years.
- LIC has capped the maturity age at 75 years.
- The policy term varies from a minimum of 10 years to a maximum of 35 years.
- LIC has one of the highest claim settlement ratio at 98.33%.
- The payout of the plan is only as lump sum amount.
- The minimum sum assured stands at Rs.25 lakh for the aggregate category and Rs.50 lakh for non-smokers.
- Max Life Online Term Plan
- Max Life’s term plan has an entry limit of 18 years and a maximum age limit of 60 years.
- The maturity age is set at 70 years.
- Max Life has a respectable claim settlement ratio of 96.95%.
- You can opt for the plan for a minimum of 10 years or a maximum of 35 years.
- Max Life lets you opt for either lump sum or income option as the payout modes.
- The minimum sum assured for this plan is Rs.25 lakh.
- Tata AIA iRaksha Supreme
- Tata AIA provides a wider age range, 18 years being the minimum and 70 years being the maximum.
- The plan has a relatively higher maturity age of 80 years.
- You can purchase the plan for a minimum of 10 years or a maximum of 40 years.
- Tata AIA’s claim settlement ratio at 96.8% is good as well.
- The minimum sum assured for the plan is Rs.50 lakh.
- iRaksha Supreme has lump sum payout option and you choose the premium payment as semi-annual, annual or one time.
- ICICI Prudential iProtect Plan
- The age limit for the plan starts at 18 years and goes up to 65 years.
- The plan has a maturity age of 75 years.
- ICICI Prudential has a claim settlement ratio of 96.2%.
- The minimum sum assured depends on the premium amount.
- You can opt for the plan for a minimum of 5 years and a maximum of 40 years.
Going online for your term plan allows you to save a substantial amount of money along with time. The hassle-free process and instant access to policy are the added benefits.
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