Arguably the purest and simplest form of life insurance, term insurance plans provide adequate financial protection to your family when you are no more. Typically, they offer peace of mind by providing a huge life cover in return for affordable premiums. The benefits are payable by the insurance company in the form of death benefits only. So, in case you manage to outlive the plan, you will not get anything in return for the premiums paid by you.
Here, we intend to throw light on how to get the top term insurance plans in India and easy ways of buying them online.
Guide to Get the Top Plans for Term Insurance
A careful analysis of the premium amount, the extent of coverage, taxes, riders, variants, and other attributes of term plans will help you get the best one for your needs. The plan chosen by you should provide the highest possible death cover at lower premium rates. These pointers will help you get quotes for the best term insurance plans online.
1. The premium will vary with your age
As you grow older, the health risks related to you will increase with each passing day. This, in turn, will enhance the risk factors for insurance companies as you age. Given this, it is best to take up term insurance early on in life. The act will help you offset the risks for insurance providers and earn you lower premiums on term plans.
You may want to use a premium calculator and other basic insurance premium comparison tools found on sites like Coverfox.com to take your final call.
2. Opt for a higher base premium
Base premium refers to the minimum sum that needs to be paid for getting adequate life protection, without any riders and taxes. The amount of your basic premium will be based on your gender, smoking habits, and age.
You are likely to get discounted rates on the best term plans if you choose to buy them online. This is because there are lower administrative and distribution costs involved with online term insurance plans.
3. Check the costs for riders
The best term insurance plans come with their own set of add-ons or riders. These riders are helpful in customising and adding extra coverage to the basic plans shortlisted by you. Most basic term plans do not provide coverage for accidents, disability, critical illness, etc.
Given this, it is recommended to buy the essential riders on the basis of your short and long-term insurance needs. Do ascertain the costs of these add-ons before going ahead with your purchase.
4. Assess the tax benefits and inclusions
In order to get the best deal, it is important to assess online term insurance quotes for the service tax rate and tax benefits u/s 80C of the IT Act.
Like all other service industries in India, service tax is levied on the term insurance plans purchased by you. The best term plans are the ones that provide the highest taxation benefits and the lowest service tax components to make them cost-effective.
Buy Best Term Insurance Plans Online
In contemporary times, there is a paradigm shift in the ways in which people are buying insurance online. These steps will guide you forward in the quest for the perfect term insurance plans online.
1. Check out different term plans
Research upon the features and benefits provided by different term plans available in the online marketplace. Use smart insurance comparison tools to figure out the ones that are likely to give you maximum coverage for the lowest possible premium. Input your age, gender, yearly income, and other necessary details to get the quotes.
2. Compare quotes before buying
Once you have the quotes in front of you, compare the death benefits to the premium payable by you. Add the costs of riders to get the final cost of term insurance. Once you are sure of what you want in terms of coverage, tenure, renewability options, premium, ease of claim settlement, etc., go ahead and buy the policy online.
Get the Best Term Plan
Coverfox.com offers reliable and easy modes of payment to buy term insurance online. Safeguard your family members from the uncertainties of tomorrow – buy term insurance today.