A term insurance plan is a great way of securing the financial well-being of your family by offering them a safety net that guarantees that they won’t have to compromise on their dreams and ambitions in life. This pure life policy offers a lumpsum payout up to the sum assured in the untimely demise of the policyholder so that their families can continue to live their lives without facing hardships.
If you are thinking of getting an online term plan or would like to know more about the benefits of such a plan, then continue to read on as we list down 5 benefits that you can expect whenever you buy a term plan in India!
A term insurance policy pays out a lump sum amount up to the sum assured. So, if someone opts for a 1 crore term insurance plan, and the policyholder untimely passes away, then the nominees would receive the amount as a lumpsum payout. This allows the family to take care of all day-to-day expenses so that they don’t go through any financial hardships.
Critical Illness Cover
Should the policyholder be diagnosed with a critical illness from among any of the listed illnesses in the policy document, then the online term plan will pay out a lump sum amount to take care of the medical, and household expenses while the policyholder recuperates from the illness. This is a great benefit as recovery often takes a long time in case of a critical illness and may result in loss of income. Compensating for this loss of income, or additional expenses as a result of the illness frees the policyholder from financial stress.
Accidental Disability Benefit
In case of a disability due to an accident, an online term plan pays out a percentage of the sum assured as an accidental disability benefit. The percentage that’s part of this lumpsum payout varies as per the amount listed in the policy document depending on the nature and severity of the disability.
Accidental Death Benefit
Accidental death benefit entitles the policyholder’s nominees to an additional sum as part of the lumpsum payout in addition to the sum assured. However, this varies across service providers, so do check with your policyholder if this rider is available on the online term plan.
Accelerated Death Benefit
In case the policyholder is diagnosed with a terminal illness, then the sum assured is paid in advance so that the policyholder can have access to supportive care and finances to take care of medical, and household expenses.
These 5 benefits make investing in an online term plan an absolute must for anyone with dependents. So, in case you still haven’t invested in a term insurance plan, you must do so at the earliest. The older you get, the higher the premiums would be on the same amount of coverage. So, a 1 crore term insurance would cost you significantly less if you opt for a term plan early on in your life, as opposed to opting for one in the later stages of your life.
Some of the best online term plans in the industry come with additional benefits and riders, including the ones we discussed to give your family complete financial independence in case of an untimely demise. Please note that riders are not mandatory and are available at additional cost.
Therefore, if you want to make an investment that will help your family stand firmly without facing financial hardships, then an online term plan is a must, and you should not delay investing in one to give your family the financial protection it needs!