Term Plan: The last quarter of 2015 saw an increase in interest in insurance generally, in part because of people’s shifting perceptions of insurance products and because insurers were given permission by the Insurance Regulatory and Development Authority of India (IRDAI) to allow foreign partners to hold a larger stake in insurance companies that are the result of joint ventures.
In the final quarter of 2015, there was a general upsurge in interest in insurance, partly due to people’s changing views about insurance products and because insurers were granted authorization by the Insurance Regulatory and Development Authority of India (IRDAI) to permit foreign partners to own a greater share in joint venture-derived insurance companies.
Term life insurance
Life insurance is the most significant and vital type of insurance out there. Both conventional life insurance plans and term insurance plans are offered under the category of life insurance. Term insurance policies are comparatively easier to understand than standard schemes, which have many alternatives and frequently require the assistance of an advisor and significantly higher assets to cover the cost. Typically, a term insurance plan is a product that provides life insurance for a set period of time. A death benefit will be paid if the insured dies within that period and the insurance is in effect, or active. Term insurance is the least expensive insurance product in terms of premium payments and has the fewest terms to deal with.
Because their premiums are roughly 30–40% less than those of offline policies, online term insurance plans offer an advantage over offline term plans. Not only is the full application procedure conducted online, but with less complicated specifics, choosing a product may be done quickly and without consulting an advisor or agent.
Some of the best performing term insurance plans in India, as of November 2015, have been chosen based on the criteria mentioned below
- Affordability (in terms of premium payment)
- Service Quality (through the policy buying process as well as policy life)
- Ease of Purchase online
- General feedback on policies
- Brand name
Top 10 Term Insurance Plans in India
| Term Insurance Plans | Minimum & Maximum Sum Assured |
| ICICI Prudential iProtect | Min: 3 lakhsMax: N/A |
| HDFC Life Click 2 Protect | Min: 10 lakhsMax: 10 Crores |
| LIC e-Term Plan | Min: 50 lakhsMax: 100 Crores |
| Max Life Online Term Plan | Min: 25 lakhsMax: 100 Crores |
| Kotak Life Preferred e-Term | Min: 25 lakhsMax: N/A |
| SBI Life eShield | Min: 20 lakhsMax: N/A |
| Bajaj Allianz iSecure | Min: 20 lakhsMax: N/A |
| Aegon Religare iTerm | Min: 10 lakhsMax: N/A |
| Aviva Life i-Life | Min: 25 lakhsMax: N/A |
| Tata AIA iRaksha TROP | Min: 50 lakhsMax: N/A |
ICICI Prudential iProtect: ICICI Prudential provides a cleverly designed plan called iProtect, which has a claim/settlement ratio of 94.1%. An optional rider of Accidental Death Benefit may also be obtained, with a maximum sum assured as per that being INR 50 lakhs.
HDFC Life’s Click 2 Protect: a term policy with an outstanding 94% claim/settlement ratio from HDFC Life. Click 2 Protect Plus is an upgraded version of the plan with a maximum sum assured of INR 10 crores.
LIC’se-Term Plan: The online term insurance plan from LIC has the highest claim settlement ratio (98.14%), although it may be more expensive than policies from private insurers. LIC’s offline term plans cost around 35% more than the e-Term plan.
Max Life Insurance’s Online Term Plan: One of the lowest premiums for term insurance schemes are offered by Max Life. There is an option for Accidental Death Benefit Rider and with slight differences in the premium amounts, one can opt for either of two options apart from the basic plan. These options are
- Basic Life Cover with Monthly Income
- Basic Life Cover with Increasing Monthly Income
Kotak Life’s Preferred e-Term Plan: Kotak Life offers a basic plan with a Recurring Payout feature that enables the nominee of the insured to receive a fixed sum of payment for the next 15 years following the insured’s death. This plan is among the lowest premium plans available.
has a greater premium than LIC’s term plans, yet it is still less. Under eShield, there are four options available:
Fundamental Scheme
Standard Plan with Benefit for Accidental Death
Increasing coverage (the Basic Sum Assured rises after the fifth year at a simple interest rate of 10% annually without raising the premium amount)
Increasing cover with Accidental Death Benefit
Bajaj Allianz’ Secure: A term insurance wherein the applicant can opt for individual or joint life insurance coverage
Aegon Religare’si Term Plan: Even with a claim/settlement ratio of about 81%, Aegon Religare is among the least expensive plans when it comes to premium prices. Optional riders for Critical Illness and Accidental Death Benefit are also available for the plan. If the former rider is diagnosed with any of the illnesses listed in the policy contract, subsequent premiums will be waived.
Aviva Life’si – Life Term Plan: The batch’s least expensive term insurance in terms of premium costs. Women receive an additional 5% refund on premium rates, even though there are no other options.
among the market’s highest premium rates. One option available with this plan is the Accidental Death and Dismemberment Rider. This policy offers single, limited, and regular pay premium payment options. It can also be relinquished, and the policy conditions may allow for the recovery of a portion of the premium.
