This festive season, secure your loved ones with a term insurance

The uncertainties that have emerged in the wake of the COVID-19 pandemic have once again highlighted the need of having a financial cushion to fall back on.

Almost 51 million people have already come in the grasp of the COVID-19 virus and over 1.2 million people have died [1]. Even in India, COVID-19 has claimed over 1.25 lakh lives with over 8.5 million infections [2]. It is in times like these that more and more people realise how important it is to provide financial backup to their families so that they can live their lives without compromising their financial goals if something unfortunate happens to the primary breadwinner of the family.

The truth of the matter is that COVID or no COVID, we all would want to see our families safe and secure, even after we are gone. 

While getting a term life insurance is advisable for everyone when they start their first job, it takes even more important when there are people who depend on you for their financial needs. These could be your spouse, your children, your younger siblings, or your parents and grandparents. You would never want to let down your loved ones who depend on you. As long as you are there for them, you work hard to provide for them so they could have the best of what life has to offer. However, is that enough? What happens if you are not there to take care of them, all of a sudden? 

This is where term life insurance comes in. By opting for a term plan, you ensure that even if you are not there to personally care for your dependents, they can still lead their lives and achieve their financial goals. Therefore, your spouse can stop worrying about your children’s wedding. Your children can still go to the college of their choice. Because in case of unfortunate death of the policyholder, his or her dependents receive the death benefit, either in a lump sum or in installments, thereby helping them to maintain their lifestyle and meet their life goals.

Since the festive season is going on, a term life insurance plan could be the perfect gift you can give to your family. As opposed to material gifts, it would give them protection throughout your life, and even afterward. 

Benefits of Term Life Insurance

Apart from its primary and most important purpose of providing you a life cover, term insurance benefits include:

Tax benefits on term insurance

You can avail a deduction of up to Rs 1.5 lakh per annum under Section 80C of the Income Tax Act, 1961 for a premium paid on your insurance plans. Moreover, in case of an unfortunate event, the death benefit paid to the nominee is tax-free under Section 10 (10D) of the Income Tax Act, 1961. The above tax benefits are subject to the provisions contained in the Act, as amended from time to time. Although a tax benefit is not why you should have term insurance, it is an added benefit that comes along.

Affordable premiums 

Because a term insurance plan provides life cover and does not provide maturity benefit, the premiums are lower as compared to other insurance plans. The early you start, the better and affordable premiums you pay. Moreover, the premium remains constant throughout the policy term. Hence, they are easy additions to your financial portfolio, which add immense value without burdening your monthly budget.

Peace of mind

Having a sufficient life insurance cover also frees you from the worries about your loved ones. You know that if something unfortunate were to happen to you, your loved ones will get a lump sum amount that can pay for their financial needs while they can continue to maintain their current standard of living in the future as well.

This Diwali, secure your loved ones with term insurance by Bajaj Allianz Life

The market is flooded with various term insurance plans. However, before you zero in on a term insurance plan for yourself, it is crucial that you compare the sum insured you get against a given premium, the claim settlement ratio of different insurers, critical illness coverage that you get, and other features. 

You could consider term plans from Bajaj Allianz Life Insurance like their Bajaj Allianz Life Smart Protect Goal, A Non-linked, Non-Participating Pure Life Term Insurance plan, which gives you a three percent discount on online purchase^. The premium is as low as Rs 18 per day for Rs 1 crore cover [3] and comes with protection against 55 critical illnesses [4]. It also comes with options of child education extra cover. Most importantly, with a claim settlement ratio of r 98.02 %*, you could rest assured on the probability of not only your claim been approved but also on the probability that it would be approved quickly and without any hassle.

Never too late for a term life insurance

If you do not have term life insurance, this is the right time to do so. All you need to do is choose a plan which is best suited for your family, decide your sum assured, apply online and you are done. So what are you waiting for? This festive season, give your family this perfect gift.

Source:
[1] https://www.worldometers.info/coronavirus/

[2] https://www.worldometers.info/coronavirus/country/india/

[3] Above illustration is considering Male aged 25 years, Standard Life | Non-Smoker | Life Cover Variant | Policy term (PT)– 30 years | Premium Payment Term (PPT) – 30 years | Sum Assured opted is Rs. 1,00,00,000 | Online Channel | Annual Premium Payment Mode | Premium shown above is exclusive of Goods & Service Tax/any other applicable tax levied, subject to changes in tax laws, and any extra premium and is for illustrative purpose only.

[4] Product feature/benefit mentioned above are dependent on variant

^Discount is available for regular premium and limited premium payment frequency under all variants of this product.

* Individual Claims Settlement Ratio for FY 2019-2020

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