As life is full of ifs and buts, we are nothing to decide what happens in the next minute. In this articles, let’s shortlist the What are the Best Term Insurance Plans in India. Before proceeding with the insurance plans, it’s important to know and understand what is Term Insurance Plan Exactly?
What is meant by term insurance plan?
Term Insurance or Term Life Insurance is the life insurance that covers a fixed rate of payments for limited period of time. If the life insured dies during this period, the benefit will be paid to the beneficiary.
Term insurance is initially less expensive compared to permanent life insurance. There are different types of insurance policies provided by different companies. You can purchase the term insurance either directly from the company through online or through agencies. But Online Term Insurance Plans in India re always considered being cheaper than the other way. Following are the list of Online Life Term Insurance Plans in India.
Top Term Insurance Companies and Plans in India:
1) LIC e-Term Online Term Insurance Plan:
LIC Insurance is the first best plan in India and it has launched its online term insurance plan just couple of years back i.e. on 17th May, 2014. It is 35% cheaper compared to other best policies. However, when it is compared with other private e-term insurance player’s online products, it seems little bit costly. In fact it has the highest claim settlement ratio among the life insurers. No doubt, you can consider buying LIC e-Term Plan today.
2) ICICI Prudential iProtect Online Insurance Plan:
ICICI Prudential is the second best plan after LIC. The latest claim settlement data tells that the claim ratio is about 94.10% and the claims are received & paid. This premium term plan is very reasonable and competitively priced. It also provides optional accidental death benefit rider and the maximum sum assured is about 50 lakhs.
3) HDFC Life’s Click 2 Protect Online Term Insurance Plan:
This plan is lower than ICICI prudential iprotect plan and the claim settlement ratio is about 94%. HDFC also offers advanced version of basic online term plans to make excellent benefits available to customers. The maximum sum assured to buy this plan is about RS.10 crores.
4) Max Life Insurance Online Term Plan:
Max life insurance is also treated as a decent claim plan and it has an excellent claim record of about 93.86%. The premium is comparatively very lass and it also provides optional accident death benefit rider. Beside basic coverage, it offers life cover along with monthly income and also increasing monthly income.
5) Kotak Life Insurance e-Term Plan:
Preferred e-term online plan of Kotak is one among the cheapest online term insurance plans in India. It has decent claim ratio of about 90.69% and also has recurring payout option. The claim is paid on policy holder’s death and yearly amount is paid after 15 years to the nominee.
6) SBI Life Insurance e-Shield Online Term Insurance:
SBI premium is a bit higher compared to above mentioned online term plans. It is an alternate to LIC’s e-term plan and is low when compared to LIC’s e-term plan. The company offers basic plan, the accidental death benefit, increasing cover, increasing cover along with accidental death benefit.
7) Aegon Religare iTerm Plan:
Aegon are the pioneers in online term insurance plans and the claim settlement record of this plan is 81%. The company offers optional riders like critical illness and ADB. On any critical illness, the future premium as per mentioned in the policy document are waived off.
It would not be fine, if Bajaj Allianz Life Insurance isecure Online Term Insurance Plan is not mentioned. This plan has special feature where you can opt this for individual or joint life insurance coverage which covers for yourself and your spouse.
The settlement and claim ratio data is collected as per published by IRDA. Even though the claim settlement data is important, this should not be sole criteria for choosing the best policy. Hence, analyze all the policies and choose the best one among the plans.