How much term insurance cover do I need?⌄
Rule of thumb: 10–15× your annual income. If you earn ₹8 Lakh/year, minimum ₹80L–₹1.2 Cr. Also add: outstanding loans (home loan balance), children's education corpus, and family's living expenses for 10–15 years without your income.
Why is term insurance so cheap compared to other life insurance?⌄
Term insurance is pure protection — no savings component, no maturity payout. The insurer pays only if you die during the term. Since most policyholders survive, premiums are low. This makes it the most efficient way to get maximum family protection.
What is Return of Premium (ROP) term plan?⌄
With ROP, if you survive the policy term, all premiums paid are returned at maturity (without interest). Regular term: no maturity benefit. ROP premiums are 1.5–2.5× higher. Financially, regular term + investing the difference gives better returns — but ROP gives psychological comfort.
Who is not eligible for term insurance?⌄
Some conditions can restrict term insurance: very high-risk occupations, severe pre-existing conditions (certain cancers, serious heart conditions), very advanced age. In these cases, we guide clients to life insurance savings plans which still provide family protection.
When should I buy term insurance?⌄
As early as possible. A 25-year-old pays significantly less than a 35-year-old for the same cover. The premium is locked at purchase age. Never wait — health conditions or age can increase premiums or lead to rejection. Buy today, even if you need to increase cover later.
Can I have multiple term insurance policies?⌄
Yes. You can have term policies from different insurers. Total cover is assessed against your human life value (income × years to retirement). Insurers check CKYC and may ask for income proof for total cover above ₹1 Cr.
How do I choose between different term insurance providers?⌄
Key criteria: (1) Claim Settlement Ratio (CSR) — choose 98%+ for maximum reliability, (2) Solvency ratio — financial health of insurer, (3) Premium amount, (4) Riders available, (5) Premium payment flexibility. We compare all these for you.
What happens to the claim if cause of death is not declared upfront?⌄
All natural and accidental deaths are covered in standard term plans. Exclusions are minimal (typically suicide in first year). Always disclose health conditions honestly at purchase — non-disclosure can lead to claim rejection.