If you want to secure the life of your loved ones then insurance is an excellent option for you as it helps you and your family even during the unforeseen circumstances in life. Term life insurance plan is especially designed for helping families to cope after the death of a family member. Whether it is building a new home, spending for child education or marriage of a child, the insurance plan offers financial assistance for meeting these financial needs.
Apart from offering optimal coverage, term life insurance helps your family member to live life peacefully without facing financial problems. Financial security is the key benefit of this insurance plan when you are not aware of what is store in future so that your loved ones can life a secured life. With comprehensive life cover, you also get an assured sum or death benefits which you get with low cost insurance premium. The sum assured is paid to the nominee or family member of the insured as it is a life insurance policy that pays after the death of the person but no amount is paid if the person survives during the insurance time period. The insurance premium is paid at a desired frequency according to the convenience so that you and your family can enjoy financial benefits.
Benefits of term insurance plan
Financial security- the most important benefit of term insurance plan is that you will get a lump sum amount of money or sum assured at the end of the policy term. The optimal sum assured is based on the amount of premium that you pay on a regular interval so that the financial needs of your family can be taken care of. Even in your absence, the insurance plan can be of great help financially as it helps your family to cover the important expenses even in case of premature demise. There are many inbuilt and optional riders that come with the insurance plan according to your future financial needs. You will enjoy the flexibility and control of choosing an insurance plan on the basis of its tenure, risk coverage and sum assured.
Income tax benefits- there are many tax benefits that you enjoy when you pay premiums for the term life insurance plans. Tax deductions of up to RS 1.5 lakh annually and even the death benefits are also fully exempted under section 10D of the Income Tax Act 1961. Income tax deductions are an excellent way to enjoy savings while you enjoy financial security with the term insurance plan.
Critical Illness coverage- critical illness rider is available with the term insurance policy as it is the benefits where the insured will get a lump sum amount on the policy in case of any critical illness. This inbuilt benefit is especially designed for some named critical illnesses so that the insured will get financial assistance even when he/she is diagnosed with any of these illnesses. Choosing a term life insurance plan allows the individual to get advanced treatments with the money of the insurance policy without facing financial burden.
Accidental death Benefit coverage- this is an optional feature that works as a double indemnity rider so that along with unexpected death benefit, the insured also get financial assistance in case of accidental death or disability. While dealing with the death of a loved one, this insurance coverage can help the family of the deceased to deal with the loss without facing financial problems. This added layer of security can be of great benefits to the insured and his/her family because no one knows what future has in store. Therefore, choosing an insurance policy with this rider can be of great help to the insured and family while dealing with an unfortunate accident instance or permanent disability from an accident.
Get different riders with the policy- term life insurance plan comes with different riders that are optional but you can choose any rider based on your risk bearing capacity and future financial requirements. Adding riders to your policy might increase the insurance premium amount but the coverage is also increased along with the riders that you choose. The sum assured increases simultaneously with the increase of the premium amount so that you can secure your future with the right selection of insurance plan.