How can you buy the best term insurance plan if you earn less?
We never want to see or can’t even imagine our loved ones in financial distress in our absence. Though we can’t put a price tag on the importance of life, but having financial security is imperative to protect our family during unfortunate circumstances. To tackle such crisis term life insurance policy is vital for everyone. A term policy is a financial protection plan against life risks like disability or death.
Considering the growing risk of varied illnesses and diseases, no one can predict the future. But we can always build a financial safety net with term life insurance policy for our family for the challenging times when we won’t be there with them. However, when it comes to buying life insurance policies, the cost factor often blocks the road. But term plans are the easiest life insurance policies to understand and the most affordable too. This implies that it doesn’t matter how much an individual earn; one can always afford a term life insurance policy. Term plans are specifically designed to cater to all income groups.
But cost should not be the only deciding factor to purchase term plan online. It is recommended that even if one’s earning is just enough for household expenses; then also nobody should ignore the decision of buying a term plan online. So, here are some essential tips wherein you can enjoy low premiums while having the benefit of a substantial life cover.
- Buy term plan online early in life: The premium that you pay is directly proportional to your age. This means that if you buy a term plan online early in your life, you will have to pay a considerably low premium as the risk of various diseases are less. Similarly, purchasing term life insurance policy at an older age will cost you more with expensive premiums as till that time you are at higher risk of getting ill from several diseases. Moreover, while determining premium payable, the insurance providers take into consideration your age and health condition. Therefore, you can cut the extra cost of the premium by buying the best term insurance plan at an early age.
- Pay premiums throughout the policy term: While buying the best term insurance plan, you need to opt for the right tenure for your policy. Your cost of premium depends on the duration of the policy that you select. You can choose a term life insurance plan with limited premium payment term while the policy continues till the entire tenure of the policy. But if you opt to pay premiums throughout your policy tenure, you can quickly reduce the high cost of premiums. Paying premium regularly will not put you in any financial burden, and you can continue paying the premium along with your income.
- Add Riders according to your requirements: Term life insurance policy is the most economical form of life insurance policy, offering substantial life coverage. However, you can still expand the insurance coverage by adding suitable riders as per your needs. There is a wide range of riders provided by insurance companies such as critical illness rider, waiver of premium, accidental death benefit amongst several others. Although riders enhance the spread of term insurance policies and they also come with a cost. But they are worth paying that little extra in terms of better risk protection. However, do remember only to add those riders which you require the most rather than adding all.
- Pay premium at a higher payment frequency: Almost all insurance providers offer multiple premium payment modes such as annually, half-yearly, quarterly or monthly. Therefore, it is better if you choose a premium payment frequency as per your convenience. If you want to save more then, you should opt for paying the premium annually, but if the cost is high for you, then you can choose to pay monthly in smaller amounts.
Term life insurance is the simplest type of life insurance in India. With the increasing health risk and uncertainties, it is imperative to buy a term plan online. However, before you select the best term insurance plan, you need to be sure about your liabilities, expenses, and affordability. You should choose one with an affordable premium that you can continue for a longer period. If you are looking for ways to reduce premiums, then you can speak to the insurance experts at BimaKaro.in.