A large number of people are still uninsured or inadequately insured in the country today. Yet, awareness is steadily growing about the need and importance of term insurance. However, one trend has been noticeable in recent times, i.e. more people are opting for online term insurance plans. Just like everything else, even insurance is now readily available online and this is what buyers are taking advantage of, considering the sheer convenience involved.
A Quick Look at Term Insurance
Before we move into the benefits of buying online term insurance, you should understand the core concept itself. These policies are basically pure life coverage that you can get for a certain period. This duration may go up to 30-40 years in most cases if you start early. At the same time, in return for your returns, you get steady coverage and a fixed payout for your nominees in case of your unfortunate demise within this tenure.
The Main Advantages of Online Term Insurance
Some of the biggest advantages include the following:
- Affordability- One of the biggest reasons to opt for these plans is their affordable costs. Most online policies can work out cheaper in comparison to their conventional offline counterparts. You don’t need any middlemen all charges are shown transparently for maximum convenience.
- Ease of Buying- It’s really easy to purchase online term insurance, since you can do it anywhere and anytime as per your wishes. Simultaneously, the whole procedure does not involve lengthy paperwork as well. Hence, you can say goodbye to physical branch visits, queues, and documentation hassles. Save time, money, and energy in good measure.
- Better Decision-Making- All policy details will be available for you to view and compare with other similar plans. You can thus take better decisions, since all information is transparently and easily available to you.
How Is Term Insurance Different from Other Kinds of Insurance?
Let us look at how term plans stack up to other kinds of insurance policies.
Endowment Policies: These policies fuse life coverage with savings. Unlike term insurances, if the insurer outlives the endowment policy term, it provides a lump sum cash payout. However, the premiums linked with this plan are higher as these include an investment portion.
Whole Life Insurance- It is essentially coverage for your lifetime until your demise. Hence, the tenures of these policies are usually longer in comparison to term plans. They may also have higher premiums since they may include features for savings and investments.
Unit-Linked Insurance Plans- ULIPs are some of the best plans available today, combining insurance and investments for maximum benefits. You’ll get life coverage for the policy period, while your premiums will be majorly invested in market-linked instruments for earning long-term returns. You should only opt for these plans if you have a higher risk appetite.
Online term insurance is ideal for young professionals, those starting their families, and basically any family or household. Get it today and secure your family financially without any hassles.
