Is it Safe to Buy Term Insurance Plan Online?

When you are the breadwinner of the family, your safety is of extreme importance. However, life is uncertain, and eventuality may knock you at any point in time.

Envision a situation where the breadwinner of the family is no more, the slightest thought of this is scary and disturbing. Well, today you are there to take care of the needs of the family but what if something happens to you and you are not around tomorrow.

Losing the breadwinner of the family is challenging emotionally, mentally and more than that it is financially.

The BIG QUESTION…

Will you be able to fulfil your family’s needs in your absence?

Yes, you can. It might sound somewhat unrealistic but the truth is that you can arrange for the well-being of your family members even if you are not around. Buy a term insurance plan online that will shield your family and provide financial help in the toughest of times.

How Does a Term Insurance Plan Work?

In case if you are unaware, the term insurance policy is the basic form of the life insurance product. This product offers a lump sum to the family upon the demise of the life insured.

You can determine the sum of the life cover and term of the cover. It is always advised to for higher life insurance coverage. Suppose you can opt for 1 crore term insurance plan to ensure financial security to your loved ones. The insurance company will determine the term insurance premium on the premise of the insured sum, term cover, gender, age, and so forth.

When the policyholder passes away untimely during the active policy tenure, the sum assured will be paid to the nominee. The key reason to buy a term insurance plan online is to protect the family financially when you are not around. The lump sum will be given to the family as a death benefit, which will bring stability in terms of finances and also help to pay off liabilities if any.

Why Should I Buy Term Insurance Plan Online?

In the COVID-19 times, each one of us has surely understood the importance of taking the digital route. And the Indian insurance industry is no exception.

The most common advantages of taking the digital route are round-the-clock accessibility, speed and convenience, therefore buying a term insurance plan online even makes more sense.

Let us take a quick understanding of some of the other major advantages of buying a term insurance plan online listed below:

• Security and Speed: The key highlight of buying the plan online is when paying the term insurance premium; you have a plethora of options to make the payment, which is both safe and secured. The payments could be done through debit/ credit card, net banking, etc. and these options are processed via a secured gateway that ensures complete peace of mind. The term insurance premium payment is instant, hassle-free and you would receive the payment receipt online. This is best for situations when you need to furnish documentation for any claims in regards to tax exemptions. When buying the term plan online, have a look at the features and benefits carefully. In case of any query or clarification required, get in touch with the respective insurance company or connect with the customer support.
• Compare and Choose: Buying term insurance plan online is beneficial as the buyer can compare various plans and make the apt choice. With a plethora of insurance providers available in the market, going with a specific insurance company becomes a tough choice. You can browse the plans online, take an understand of the benefits and features offered within the plan and compare the term insurance premium quotes online and make the wise and an informed choice.
• Cost-effective Premium: Another advantage of buying the best term plan online is that the premiums offered are cost-effective compared to buying the plan offline. This is so because you buy the plan directly and there is no involvement of any broker or middleman, which helps to save the distribution expenses and commissions. Moreover, buying the term plan online also shows that you are a well-informed, educated and responsible individual, which creates a good buyer profile and helps to avail lower premiums.

How to Choose the Best Term Insurance Plan?

When it comes to buying the best term plan it becomes important primarily to understand the requirements of the family. The requirement of your family members will be different from the premise of the life stage. For instance, the requirement of your child will be different when compared to your life partner. Therefore, opt for the cover sum accordingly. Also, while buying the same keep an eye for future expenses and the financial responsibilities that will increase with time.

Select a cover on the premise of the current living standard of the family. Moreover, take into account the aspect of inflation that also needs to reflect upon the life cover as well. Ideally, the cover sum should be equal to the sum of income that is required to manage the everyday expenses of the family.

Look for the claim settlement ratio of the insurance provider. Never go with an insurance company who has a low claim settlement ratio even though if it offers a low premium. A term plan is of no use if the company does not help you when you need it the most. The claim settlement ratio essentially represents the number of claims that have been settled against the filed claims. The rule is simple, the higher is the claim settlement ratio, better are the chances of accessing the complete sum assured amount.

The Bottom Line

The key to buying the best term insurance plan online is simply not going ahead with a plan because of a future expenses. Rather, buy the term plan that suits your pocket and fulfills your every requirement in case of any adversities.

In any case, do not assume that a term plan is not important. While choosing the term insurance plan online, certain factors should be considered as it does have to affect the term insurance premium. It is also advised to use the term insurance premium calculator and get an estimate and plan accordingly.

The earlier you buy; the lower will be the term insurance premium.