What would happen if you leave your family without any financial assistance? Is your insurance cover enough for your family to maintain the same life standards – even in your absence? If all these questions don’t have a clear answer in your mind, then your family is not future secured.
What we must understand here is, that insuring yourself against any casualty is a vital step towards financial planning. And for that you must consider all the expenses and contingencies while calculating the required insurance cover. Once the cover amount is ascertained, the next step is to choose the best term insurance plan.
Gone are the days when insurance agents used to come to your door step and dupe you into buying inappropriate insurance policies. This insurance plan is flexible on the convenience front too. That means, you can cancel the policy in free-look period i.e. within 15 days of receiving policy documents. Needless to say, nobody wants to make the process tedious but such a feature can be quite beneficial in the longer term.
Just buy yourself an appropriate life insurance policy online in just a few steps. But remember the golden rule – always look at a lot of other policy options to compare and choose from. But, before that let us first understand what a Term Insurance Plan is and what are the parameters to select the best Term Insurance Policy?
What is a Term Insurance Plan?
A Term Insurance Plan is the most affordable life insurance plan, in comparison to ULIPs, Money Back Plans and Endowment Plans. They provide sufficient amount of sum assured to your loved ones in your absence. This helps them fulfil their basic financial needs and day-to-day expenses. As per the thumb rule – this amount should be 20 times your annual income or 15 times your annual expenses.
Most Affordable One Life Insurance Plan in the Market – Max Life Online Term Plan
One of the top insurers, Max Life Insurance has come up with the most affordable Online Term Insurance Plan which offers not one, not two but three death benefits. But, before diving into the details of the plan, let me first acquaint you with the status of Max Life Insurance and its IRDAI Claim Settlement Ratio for 2014-15.
Max Life Insurance is Ranked Number 1 amongst the private insurers and has attained the Claim Settlement Ratio of 96.03% followed by Birla Sun life (95.3%), ICICI Life (93.8%) and HDFC Life (90.5%). Just not that, Max Life Insurance has also been ranked Number 1 in Claim Paid Percentage with 95.59% followed by Star Union (91.54%) and Sahara (89.56%) in the year 2014-15.
Max Life Online Term Plan Features at a glance
Max Life Online Term Plan offers three death benefits:
1 Basic Life Cover Plan
As the name suggests, Basic Life Cover Plan offers 100% of assured amount as lump sum on the death of the insured. In addition, the event of dismemberment or diagnosis of critical illness, all future premiums shall be waived – a unique feature that is quite a novelty in the market. That means, the policy continues as if the regular premium payments have been done.
For a policy cover amount of Rs.1 crore, for a non-smoker healthy male – aged 30-years with a policy term of 30 years – the premium would be Rs.7,400 annually.
2 Life Cover Plus Monthly Income Plan
Under this plan, your family will receive 100% of the assured amount on death as well as a fixed monthly income for 10 years. In the event of dismemberment or diagnosis of critical illness, all future premium payment shall be waived and policy would continue as if the regular payment of premiums has been done.
For a policy cover amount of Rs.1 crore and a fixed monthly income of Rs. 40,000 – for a non-smoker healthy male aged 30-years with a policy term of 30 years – the premium comes to Rs.10,000 annually.
3 Life Cover Plus Increasing Monthly Income
This plan is similar to the Life Cover Plus Monthly Income Plan but with a little variance of increasing monthly income. Under this plan, your family will receive 100% of the assured amount on death as well as a monthly sum for 10 years. This monthly income will increase every year at an interest rate of 10% of the first year’s monthly income.
So for a policy of Rs.1 crore and a monthly income of Rs. 40,000 increasing at 10% p.a. – for non-smoker healthy male aged 30 years old with a policy term of 30 years – premium amounts to Rs.11,000 annually.
Max Life Online Term Plan Riders
Max Life Online Term Plan offers two riders:
Comprehensive Accident Benefit Rider
In case the insured person meets with an accident that results in dismemberment (check the listed impairments) or death then the benefits under this rider are payable over and above the base plan benefits.
Waiver of Premium Plus Rider
With this rider, all the future payments of premium get waived in case of death, disease or dismemberment. The benefits under this rider will be payable over and above the base plan benefits.
How to Apply for Max Life Online Term Insurance Plan?
As I mentioned before, an online term insurance policy can be bought in just a few steps. All you have to do is:
- Choose the amount of the insurance cover that suits you and a tenure for the policy of your choice.
- Choose the policy plan from the three options and calculate premium while choosing for any optional rider, if you wish.
- Fill in the Application Form and make online payment using Net Banking, Credit or Debit card.
- Upload relevant documents and schedule a medical examination appointment.
I would highly recommend the primary earners of the family – in the age bracket of 28 to 40 years – to buy Max Life Insurance Online Term Plan. Trust this plan to take care of all your family needs in your absence at a very affordable premium amount.
Remember: Do not hide any health related issues from your insurer – not even the smallest points like being a smoker. After all, you don’t want your claim to be rejected and your family to suffer in your absence.