Term Plan- Why should you buy it Immediately?
As an author of this insurance blog, I feel that it is my duty to bring out the importance and significance of Term plans in your family’s Financial security. Whatever maybe your income range and whatever may be your asset size, your family misses you very badly in your absence- Both Emotionally and Financially. This Term plans comes into play when we are not going to be there with our beloved family members. It is necessary for each and every one of us to find our Human Life value and Take a Term Insurance accordingly.
Term insurance gives you the maximum protection to your family in a very dead cheaper price. It normally comes in a very lesser price when compared to other insurance products. In spite of its greater role in case of our absence, many people neglect the importance of term plan. Still many buy Insurance by means of an Obligation. But today technology has improved and the peoples mind towards insurance has changed from “sold” to ” purchased”.
If you are looking out for a savings product or an investment product you can opt out of this post because there is no return paid to you in this plan. Instead these type of plans gives the maximum coverage at a minimum possible price.
I had tried to bring out the 5 Basic reasons on why You should buy a Term Plan immediately.
1. Term plans are very cheaper
The premium level in online term plans are very cheaper when compared to the offline term plans. And nowadays premium is very much lower than our day today expenses. It has been launched at an very attractive rates. Some company offers term plan as low as just Rs.6 a day as premium. See the various campaigns by the insurance companies on the Term plan ads.
So buy your term insurance NOW.
These premium rate may not even amount to the monthly personal expenses we have.
2. Total Financial Security for Your Family and Peace of Mind for you
Once you are covered fully to the maximum possible sum assured, You will be surely relieved off all your worries about your loving family in regards with your loans and liabilities. The feeling of having a fully covered liability and loan will always give us a peace of mind for sure.
Your Housing loans, Credit card bills, personal loans, two wheeler loans and other liabilities are all covered in your absence just by buying A term insurance. So go buy a term insurance today to secure your family.
3. Why Delaying your decision for Buying a Term insurance is very dangerous.
You may be thinking to buy a term plan in the recent past. And you could have delayed it or postponed it to the near future. Delay is always dangerous. The Money in your savings account will noway be enough to match your loans and liabilities in your absence. This you know it better than me. This is happening with most of the people at present. Either you postpone your buying or decide not to buy, the full ownership on your liabilities will be on your beloved family in your absence anyways if it happens. No one here is going to live a 1000 years of age. It is always a good time to buy term insurance.
4. Premiums increase with Increase in your age
The premiums of term insurance plans increase with the increase in your age. You are supposed to buy a term insurance at a very young age posssible. Each year you keep delaying will result in a increase in the premium every year. A 1000Rs increase in premium every year will amount to Rs 30000 in 30 years and with simple interest of 10%, Your difference in the premium may even Fetch nearly a lakh ruppee in the future.
5.Safer Life for your family.
A financially secured life is always there for your family incase of your absence.
If you had decided to buy a term insurance, you should look onto the below points.
What is the optimal Sum Assured?
Calculate your human life value in the Human life value section of my earlier posts. You should have a maximum cover in relation with your age, income level and term of the policy.
Example:If your human life value is Rs 10000000, you should opt for a coverage of Rs 10000000.
Till what age should i cover my life in a term plan?
A wiser decision is to buy term plan till age 65. Normally people tends to work till age 60 at least. So the income gradually falls once passing your retirement age. This is the period where in your family has less dependency on you. So optimal age is 65.
Advantages of Online term plans
- Lower premium rates
- Faster process – Instant policy issuance in some cases
- Less paperwork involved (often paperless process)
- Completely transparent (fill up the form yourself)
Offline Term Plan OR Online Term Plan?
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