Term insurance plans secure your family’s financial future even when you are not around. These plans are considered by many as one of the basic financial necessities of life, especially in today’s times. Term insurance plans also have multiple features and benefits, right from affordable premiums to riders for additional covers.
What are the benefits of term insurance?
Term insurance offers multiple benefits to customers. Here are a few you should be aware of:
- Affordable Premiums - You can get a high-value life cover from a term insurance plan by paying an affordable premium amount. Premium payments can be made either monthly/half-yearly/yearly. The earlier you buy a term insurance plan, the lower premium amount you have to pay.
- Whole Life Cover - Term insurance plans offer substantially longer coverage. Whole life insurance plans even offer coverage till the age of 99 years.
- Payout of Sum Insured - In case of the unfortunate demise of the person insured, the family members will receive the sum assured as a payout. They can choose for this payout to be in the form of lump sum, an income that is either monthly or annual, a combination of lump sum and income or an increasing income. This will help take care of financial needs and household expenses among other costs.
- Critical Illness Coverage - In case optional Critical Illness Coverage is included in your term insurance plan, you will get a lump-sum payout upon diagnosis of any critical illness that is covered in the plan.
- Accidental Death Benefit - You can add the Accidental Death Benefit rider to your term insurance plan. This will offer protection against any mishaps in the future.
- Coverage for Terminal Illnesses - Term insurance plans can give you lump-sum payouts in case of diagnosis of terminal illnesses such as AIDS.
- Tax Benefits - You can get tax benefits on premiums paid under Section 80C along with premium paid towards critical illness benefit under Section 80D of the IT Act. The lump-sum amount received by nominees as the sum assured/death benefit is also exempted from taxes under Section 10 (10D)**.
Why choose term insurance plans?
Term insurance plans offer financial security for the entire family in case of the unfortunate death of the policy holder. Also you get optional coverage for critical illnesses or accidental death. You are covered for a long duration while the premiums are affordable.
The ICICI Pru iProtect Smart term insurance plan offers the regular benefits of a term insurance plan with extensive Critical Illness Coverage. Here are a few key features of the same:
- Longer coverage with the provision to be covered until 99 years of age.
- Extensive coverage for 34 critical illnesses1.
- Receive payouts upon first diagnosis of any critical illness covered under the plan.
- Receive full payout of life coverage upon diagnosis of any terminal illness2.
- Add accidental death benefit anytime3.
- Pay lower premiums starting from ₹ 2,400.
- Choose from four payout options, namely Lump Sum, Lump Sum + Income, Increasing Income, and Income.
You can also buy term insurance online under the MWP (Married Women’s Property) Act, ensuring that your insurance amount is protected and handed over to your spouse and/ or children without being claimed wrongfully by creditors4.