Every person should have the peace of mind that they will be able to afford their everyday living expenses in the case of an emergency. Term insurance plans are an affordable and reliable way to do just that. Term life insurance is a type of life insurance that provides coverage for a specific period. It is more affordable than other types of life insurance. This type of insurance protects against sudden death. The premium paid will depend on age, health, and other factors like family history, occupation, and lifestyle.
Now, when the sum assured increases the premiums will also be higher so it's not feasible for anyone to buy high coverage like Rs. 10 Lacs, 25 Lacs term life insurance. In these cases, people can opt for low coverage options like Rs. 25,000 term life insurance. If you are thinking about buying term life insurance for Rs.25000 then you should read this article to know more about it.
What is Rs.25000 Term Life Insurance?
A 25000 life insurance policy will cover the sum assured amount of Rs. 25000 in case of the sudden death of the insured. This means that if the life assured dies within the policy term, the nominees/beneficiary will get could claim amount from the insurance company.
This is a type of life insurance that provides coverage for a fixed period. It is an affordable and cost-effective way to protect your family in the event of your death. You can choose the term that works best for your needs and budget and can be renewed at any time if you wish to keep it going.
The Importance of Rs. 25000 Term Life Insurance
Basic term life insurance typically covers a range from Rs. 10 Lakhs to up to Rs. 1 Crore. These high cover term life insurance policies are priced at higher premiums. To address the insurance needs of people belonging to lower-income groups, insurance companies have come up with micro-insurance plans.
Rs. 25000 term life insurance policies are the best micro insurance plans and this term life insurance is the cheapest and most affordable insurance plan for low-income families. It is an important safety net to protect the family in case of sudden death or an accident that may leave them without a breadwinner.
The Rs. 25000 term life insurance is not only affordable but also covers the needs of a low-income family in case of death or disability. This plan will ensure that the family does not have to worry about medical expenses, burial costs, and other financial obligations that come with sudden death or accident.
What are Micro Insurance Plans?
Micro Insurance Plans are insurance plans for people who are not able to afford more expensive life insurance plans. Micro Insurance Plans are plans that protect from financial losses due to injury or illness. Micro life insurance plans are an alternative to traditional life insurance plans. They are cheaper and more economical for the policyholder.
The plan is designed with a very low premium. The coverage amount is usually Rs.10000 to Rs.50000. Micro-life insurance plans are perfect for people who want to make sure they have enough money to pay off their debts in the event of their death but don't want to spend a lot of money on premiums.
Best Life Insurance Plans for Rs. 25000 Coverage
The best life insurance plans for Rs. 25000 coverage offer different types of features and benefits to suit the needs and requirements of different types of people. Below are the best term life insurance plans for Rs. 25000/- coverage.
Kotak Sampoorn Bima Micro-Insurance Plan
Kotak Sampoorn Bima Micro-Insurance plan provides the combined benefit of savings and protection. And also provides financial security to the insured person's family in case any unexpected event happens to the insured. The plan offers 5 different fund options to choose from.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
55 Years |
| Maturity Age |
60 Years |
| Premium |
200/- (Fixed) |
| Policy Term |
5 years(Fixed) |
| Premium Payment Option |
Single |
Edelweiss Tokio Life Insurance Jan Suraksha Plan
Edelweiss Tokio Life Jan Suraksha Plan is a Non-Linked, Non-Par, Pure Risk Premium, Life, Micro Insurance plan that is designed to provide a cover against death. This group plan can help the group of people and secure the financial future of their family in case of the unfortunate demise of the member.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
60 Years |
| Maturity Age |
20 to 67 Years |
| Sum Assured |
5000/- per member |
| Policy Term |
2,5,7 years |
| Premium Payment Option |
Single pay, regular pay |
ICICI Prudential Sarv Jana Suraksha Micro Insurance Plan
ICICI Prudential Sarv Jana Suraksha Micro Insurance Plan protects your loved ones with financial security due to uncertain things at an affordable low cost.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
45 Years |
| Premium |
Rs. 50 p.a and regular premium payout regularly throughout the policy period and the policy last for 5 years. |
| Sum Assured |
Rs.5000 to 2 Lacs |
| Policy Term |
5 years |
| Premium Payment Option |
Single pay, regular pay |
LIC’s Bhagya Lakhsmi Plan
LIC Bhagya Lakshmi Plan is a micro-insurance plan that provides financial assistance to low-income group people.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
60 Years |
| Maturity Age |
65 |
| Sum Assured |
20000/- to 50000/- |
| Policy Term |
Premium Paying Term+ 2 years |
| Premium Payment Mode |
Yearly, Half Yearly |
Aviva Jana Suraksha Plan
Aviva Jana Suraksha Plan is to provide financial security for your children through low-cost life cover to protect your family and give a lump sum amount in case of your death during the term policy.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
55 Years |
| Sum Assured |
25000/- to 50000/- |
| Policy Term |
5 Years, 10 Years |
| Premium Mode |
Single, Annual, Semi-annual, Quarterly, Monthly |
LIC’s New Jeevan Mangal Plan
LIC’s New Jeevan Mangal plan is a micro-insurance plan designed to offer protection and peace of mind to individuals.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
55 Years |
| Maturity Age |
65 |
| Sum Assured |
10000/- |
| Policy Term |
1 to 15 years |
| Premium Payment Mode |
Weekly, Monthly, Quarterly, Half-Yearly, Yearly |
SBI Life Grameen Bima Plan
SBI Life Grameen Bima Plan is a protection plan also known as the micro-insurance plan that covers you from family financial security at affordable costs.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
65 Years |
| Sum Assured |
10000/- to 50000/- |
| Policy Term |
5 years |
| Premium |
Rs. 300 to Rs. 2000 |
Shriram Life Sujana Plan
Shriram Life Sujana Plan is a non-linked and non-participating group credit life micro insurance product.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
73 Years |
| Maturity Age |
75 Years |
| Sum Assured |
1000/- to 2 Lacs |
| Policy Term |
5 years |
Bharti AXA Life Grameen Jeevan Bima Yojana Plan
Bharti AXA Life Grameen Jeevan Bima Yojana Plan is a Non-Linked, Non-Participating Life Term Micro Insurance Plan that provides life cover in case of death. This plan provides a return of premium option where 100% of the premiums paid are returned at the end of the policy term as a lump sum. This plan offers you flexibility in two plan options such as pure protection plan option and protection with a return of premium option.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
60 Years |
| Maturity Age |
65 Years |
| Sum Assured |
10000/- to 2 Lacs |
| Policy Term |
5 years to 10 Years |
| Premium Mode |
Annual, Semi-annual, quarterly, Monthly |
| Premium Payment Term |
Regular pay, single pay |
Pramerica Life Sarv Suraksha Plan
Pramerica Life Sarv Suraksha is a yearly renewable group term micro-insurance product that provides financial security to a group of people.
Features and Eligibility:
| Factor |
Eligibility |
| Minimum Entry Age |
18 Years |
| Maximum Entry Age |
65 Years |
| Sum Assured |
1000/- to 2 Lacs |
| Policy Term |
1 Year |
| Premium Mode |
Annual, Semi-annual, quarterly, Monthly |
| Premium Payment Term |
Regular pay, single pay |
Conclusion
Everybody has different insurance needs and circumstances, not every buyer in the country can afford to buy term insurance plan worth Rs. 1 crore. 25000-term life insurance is the best term insurance policy for low-income groups. But choosing a life insurance policy that fits your needs is not an easy process.
There are many factors to consider and it can be daunting to look at all the options that are available in the market. A good way to do this is by comparing the features of different policies and the premiums they charge. You should also consider the limitations of each policy, including any exclusions or restrictions that may apply. So, it is important that you do your research finds out which option suits your needs and budget the best.
Related FAQs
Should I Buy Rs.25000 Term Life Insurance?
Yes. If the individual's health is good and the person does not smoke, it is possible to get term life insurance for Rs.25000. This can be done by going to any of the insurance companies that offer term life insurance policies for this amount and filling out a form.
What Happens If Rs.25000 Term Cover Expires?
If Rs.25000 term cover expires the policy can either be renewed or converted to a whole life policy. Otherwise, you can find a policy that ensures complete financial security for your dependents.
What Is The Maximum Sum Assured Under A Micro Insurance Plan?
The maximum sum assured under a micro insurance plan is the maximum amount the insurer will pay out in case of death or disability. The maximum sum assured under a micro insurance plan is between Rs.5000 to Rs.50000.
How Many Members Can Be Covered Under Group Micro-Insurance Term Life Policies?
The number of members covered under group micro-insurance term life policies is usually determined by the size of the group and the type of micro-insurance term life policy being offered. Usually, a maximum of 5 members can be covered under group micro-insurance term life policies that come with low coverage.
What Are The Benefits Of Owning a Rs. 25000 Term Life Insurance Plan?
The benefits of having a Rs. 25000 term life insurance plan are many. The premium for this plan is much less than what you would pay for a family floater. It's also more affordable than the sum assured offered by the Rs. 30000 and Rs. 50000 term plans, which are often out of reach for many people who can't afford to buy it outright.