Think and Select your Term Life Insurance Plan

Term Life Insurance provides financial safety to the policy holder’s family after the death of insured. A certain premium amount must be paid by the proposer for specific term as per the plan selection to ensure that cover amount is payable on insured’s death. Life insurance premiums paid are taxable under section 80 C (Income tax act ,1961)

Term life policies can be converted to whole life plans as well depending on the plans offered by respective insurers. Primarily, Term life comes with less expensive premium rates which a person with moderate income can prefer.

It is not guaranteed how long one can live and what will be the condition of a family after their loved ones are no more with them. So, to have financial security for our loved one, we must have backup plan after their death which will help our family to deal with financial issues.

Here are few points which should be taken care before taking Term Life Policy:

Age and Term Selection:

  • Younger the age of insured, lesser will be the premium, one must buy term life as soon as they turn nearby 22 years age. Make sure to select term which will cover you at least till the age of 65 years. To avoid any lapse in the policy, keep the premium payment on auto debit mode. Choose the term according to the family needs, health status and lifestyle.

Medical test:

  • It is better to have regular health checkups which helps in tracking health conditions. While purchasing term life, check with the insurance company to know whether the medical test procedure would be followed for your term life insurance prior you pay your insurance premium payment online as medical test would depend on the age of insured and insurance cover opted by you.

Compare the plans:

  • There are few websites where one can compare the term life plans. It is easy to take decision to opt plans with applicable insurer as per your annual income and family needs and moreover you can also take assistance of customer care representative to help you choose the best plan as per your needs.


  • Riders helps us plan additional coverages which includes accidental death, partial disability, critical illness, income benefit cover and other coverages provided by respective insurers. Choosing riders along with term plan is equivalent to providing additional financial security to your family.

Claim ratio:

  • This is an important aspect to check to know the trend of claims settled by life insurance companies. It is determined by how many claims the company have settled in a year. One can check this claim settlement ratio in Annual reports published by IRDAI in their portal.
  • Death might strike any time, it is good to plan financial security for our family when we are not in this world. Always read the terms & conditions of the policy carefully before purchasing your policy.

Take your time and choose the best plan for you wisely. Take Care and Stay healthy.!