Over 90% of people in India believe that term insurance, as well as health insurance, is important for their financial safety and mental wellbeing, according to a survey. In fact, the coronavirus pandemic has prompted everyone for financial security in an unprecedented way. Throughout the country, people are showing interest in proactive buying of insurance policies and admit the concern to the COVID-19.
After all, during this pandemic, coronavirus term insurance should be an integral part of your financial planning given the severity caused by the virus of 2019. Having a term insurance policy for securing your family’s financial future is important. It is strongly recommended to purchase a term insurance plan at an early stage of life and enjoy the benefits. Further, a young individual enjoys paying less premium. But the point is which term insurance is better during the COVID-19 breakout.
List of Best Term Insurance Plans during the COVID 19 Break out to secure your Family
| Insurers | Term Plans | Entry Age | Maximum Maturity Years | Claim Settlement Ratio |
| LIC of India | LIC Tech Term | 18-65 Years | 80 | 96.69 |
| HDFC Life | HDFC Click 2 Protect 3D Plus Term Plan | 18/25-65 Years | 85, the whole of life | 99.07 |
| SBI Life | SBI Life eShield | 18-60/65 Years | 75/80 | 94.52 |
| ICICI Prudential Life | ICICI Prudential iProtect Smart Term Plan | 18-65 Years | 85,99 | 97.84 |
| Max Life | Max Life Smart Term Plan | 18-44/65 Years | 75/85 | 99.22 |
| Bajaj Allianz | Smart Protect Goal | 18-65 Years | 99 | 98.02 |
| Kotak Mahindra | E-term | 18-65 Years | 75 | 96.38 |
| Aditya Birla | Life Shield | 18-65 Years | 85 | 97.54 |
| Tata AIA | Maha Raksha Supreme | 18-70 Years | 100 | 99.06 |
| PNB Metlife | Mera Term Plan | 18-65 Years | 99 | 97.18 |
Note that almost every term plan comes with basic covers and can be helpful during the coronavirus break out. However, there might be slight differences among them for which you need to be careful. The below points will help you choose the most suitable term insurance during the COVID-19 breakout.
Be thoughtful: When you search for a term plan for yourself, it is good to assess what exactly you are looking for. Review the financial value of a plan along with measuring your own financial needs and requirements. This is because it is important to acknowledge that everyone’s financial requirements are prone to change with different stages in life and will call for different solutions.
Claim settlement ratio: A claim settlement ratio (CSR) mentioned in the above table is one of the most vital facts which must be checked before you finalize any term insurance plan during the coronavirus breakout. In general, CSR reflects the claim settling ability of the insurance company. The higher the CSR, the better it is to buy the term plan from that insurer.
Buy online: In order to grab the best price, choose to buy a term plan online. This will allow you to pick a policy at almost 30-70 percent cheaper than buying offline. The primary reason behind this is that in the online settings, there are no agents involved and so their commission or intermediary costs are not included in the insurance premium unnecessarily. So, the premium cost comes lower.
Customize Online: While buying an insurance product online, you will have the flexibility of customizing the plan as per your budget and needs. You will be able to pick different coverage and add-ons while buying an insurance plan online and customize it according to your convenience.
Compare policies online: For better term insurance during the COVID-19 breakout, decide to compare different policies by different insurers online while purchasing a life insurance plan. This will not just allow you to get the best plan but also lets you grab it for the right worth. Comparison of different policies also helps you increase your existing knowledge about the insurance industry and you will know whether new features or coverage have come up in the market that needs to be added to the policy benefit.
Right coverage: Please note the term insurance plan you want to buy should be a minimum of 10-15 times your annual income. Moreover, being just multiple of your income, the coverage amount under your term insurance is a function of various other aspects that you should consider when estimating the sum assured of the insurance product.
To take an example, if you have taken any load, then it would be a challenge for your family in your absence to meet the Equated Monthly Installments (EMIs). That’s why it should be accounted for at the time of determining the amount of your term insurance plan.
Payment frequency: Insurance providers in India have in store a wide range of premium payment terms (PPTs) with life insurance plans. This is the option to pay insurance premiums as either a lump sum amount or at regular intervals, such as monthly, quarterly, half-yearly or yearly. When you buy a term plan, assessing which PPT is the most convenient option for you and then opting for it is important.
Policy duration: Policy duration is another crucial aspect you should consider when buying a term insurance plan. Typically, you should opt for long-term tenures so that you are able to keep your family financially secured for a longer period of time in your absence.
Conclusion
Coronavirus is a deadly virus. You need to be careful enough and follow all the COVID-19 guidelines set by medical officials. However, having a term insurance plan should also be a priority. Nobody knows what’s going to happen in their life. And if something unfortunate happens to you, your family will end up a financial burden. To keep them financially strong during your absence, having a life insurance policy sounds like a brilliant idea. You can buy any of the insurance products mentioned above online. While buying, keep in mind that there is the availability of 24×7 customer care service to resolve all your queries and assistance is available when needed.