Having dependents is a matter of responsibility and family person needs to make sure that they take up this channel really well. Enough financial earning, good standard of life and offering the best to family dependents is the main concern of this responsibility. But, your responsibility does not end here.
People also need to make sure that the family dependents lead the same standard of lifestyle even in case breadwinner met with an unfortunate early demise. Therefore, PolicyBoss suggest you to purchase online term insurance which will give the essential risk coverage to deal with such scenario.
Purchasing any term plan in India is not going to solve this issue, so people need to be prudent while selecting a policy. Below are few points which buyers need to be aware while choosing a plan:
Term insurance is necessary in case person has dependents either parents, spouse or children and do not has adequate savings to cover living expenses for the rest of life and ongoing or future liabilities if any.
- How much coverage is enough?
The higher the risk cover person select, then term insurance premium would also be higher for the policy. Do not forget to make sure that the coverage you choose is more than enough to support family members financially. Insurance experts suggest buyers to have coverage for an amount which is around 5 to 10 times more than the annual income.
- Advantages of Term Insurance
Buyers need to be sure of life insurance benefits before purchasing a plan online. Generally, basic term plan provides risk cover in case of an unfortunate demise of the policyholder. As compared to other insurance products like endowment policies and unit linked insurance plans, buying a term plan is more affordable. Insured people can also enjoy tax benefits under term plans.
- Right Age to Buy Term Insurance Online
It is really good if you buy a term plan early. When person starts earning, it is advisable to buy a policy so that insured can avail more number of benefits at lower premiums.
A pure term plan provides risk coverage only against policyholder’s demise but there are certain scenarios in life when risk coverage would be necessary such as critical illness leading to permanent disability. Policyholders can buy suitable riders to add value to term plan.