Term insurance provides financial security to you and your loved ones for the uncertainties of life. To choose the best term insurance for yourself, you should do a term insurance comparison. It will help you to choose the right insurance policy to avoid any future financial troubles for your family. When you compare online term plans, you will find an option that may confuse you with choosing the right plan. So, a careful term plan comparison is a must to choose the best plan for you and your family.
What is Term Insurance?
Term insurance is a type of life insurance in which the insurance company pays the claim to the nominee of the insured in case of the death of the insured. The life insurance coverage is provided for a particular period which is known as the “term”.
Term insurance plans are the main life insurance policy people are interested to buy in recent years due to the coverage and premiums included under term insurance. Among all the life insurance products, term life insurance offers the highest life coverage for the minimum premiums during the term of the policy.
A term plan not only offers financial security to your family but also is capable of fulfilling its future needs such as your child’s marriage, education, senior citizens retirement pension, protection against any financial obligations, savings towards the future, money back insurance, etc.
Benefits of Term Insurance Comparison
It's important to have some form of life insurance in place. Term insurance is a great option for those who need coverage for a specified period. There are many benefits to this type of coverage, including the low monthly premiums. Term life insurance comes with lower monthly premiums than other types of life insurance policies. It also has no cash value and does not accumulate interest like whole life or universal life policies do. The benefits of comparing term insurance online are listed below
- Get the Right Plan: By comparing term insurance plans online you can take the right plan which suits all your needs.
- Save Money/Time: As there is no need to go insurance company which saves time and fuel cost, no waiting in long queues, and filling the registration form manually. The online term life insurance comparison policy helps you to save precious time and money.
- Get Affordable Premiums: Compare term life insurance premiums online through a term insurance calculator. You can get affordable premiums.
- Easy: Term insurance comparison online makes it easier for you to check all the features, benefits, and drawbacks of all the plans so that you do not miss out on any valuable information on your term insurance policy.
- Get Peace of Mind: Comparison of term insurance helps you to take the final decision you make is based on concrete analysis keeping your requirements in mind.
Factors include in Term Insurance Premium
Term insurance premiums can be calculated from the online portal where we have a team of dedicated agents to help you with your life insurance requirements. The term insurance premium is calculated based on the age of the customer; Sum assured opted, Gender, and Food habits.
- Age: Term insurance premium is based mainly on the age of the customer. If lower the age of the policyholder, lower would be the term insurance premium. This is due to the increase in mortality rate with the increase in age of the people. It is advisable to take a term insurance policy at a very young age to reduce the premium amount payable during the policy period.
- Gender: Term insurance premium changes with the gender of the customer as well. This is due to the loss ratio experienced by the insurance companies. The premium for Male policyholders of the same age and same sum assured would be higher than that of the Female policyholder due to the mortality rate being high in the Male population in comparison to the female population.
- Sum Assured: Sum assured is the maximum liability of the insurance company in case of the death of the policyholder. The sum assured selected by the policyholder decides the premium under the life insurance policy. Higher the sum assured, higher would be the premium to be paid under the term insurance policy.
- Lifestyle: The lifestyle of a person decides the life insurance premium to be paid. Lifestyle includes Smoking and drinking habits, entertainment in risky works, etc. In comparison, the life insurance premium of a smoker and drinker would be high than that of a teetotaller. This is due to the increase in the risk of death due to diseases and illness.
- Health History: The health history of the prospect also plays an important role in deciding the premium to be charged by the insurance company. The life insurance calculator takes into account the health history of the prospect and decides on the acceptance of the proposal. Every insurance proposal requires the health history of the prospect to be taken into consideration before deciding on the acceptance of the proposal.
Compare - Life Insurance vs Term Insurance
| Parameter |
Life Insurance |
Term Insurance |
| Benefits |
It offers two benefits of both savings and protection |
It offers only death benefits. There are no additional benefits |
| Coverage |
Premature death and survival until the policy tenure are covered |
Only premature death is covered |
| Tenure |
It has the option to change the tenure of the policy |
It has a fixed tenure option |
| Premium |
High premiums |
Low premiums |
| Premium Pay-out |
There is premium pay-out if the policyholder survives the policy period |
There is no refund of premium until a claim made the death of the policyholder |
| Death Benefits |
Payable under all plans |
Payable |
| Maturity Benefits |
Payable |
Not Payable |
| Loan Availability |
The policyholder can opt for a loan facility against the whole life insurance plan. |
No loan availability in term life insurance plan |
How to Compare Term Insurance Premium Online?
The process of comparing term insurance premiums online has become simple with PolicyBachat. For buying a term insurance plan online please visit our website Policybachat.com Following are steps to compare term plans online in our portal.
- Visit the Policybachat Website and select the ‘Life’ tab.
- Enter your Name, Date of Birth, and Mobile Number.
- Click on the ‘View Plans’ button.
- Just Answer 5 Simple Questions.
- Select your ‘Gender’.
- Select ‘YES’ or ‘No’ if you have Smoked or Chewed Tobacco in the last 12 months.
- Select your ‘Annual Income’.
- Select your ‘Education Qualification’.
- Choose your ‘Occupation Type’.
- Enter your ‘Email Address’.
- Then click on ‘Start Saving Money’.
- Premium Quotes of top term life insurance plans will be displayed as per data entered by you and which are suits your requirement.
- You can edit policy details, sum insured value, policy terms and you can choose your preferred company.
- Purchase the best term insurance policy using online payment.
Term Insurance Plan Comparison
There are different types of term insurance plans. The coverage under the term insurance plans can be enlarged by selecting for the Return of Premium, Level term plan, Add-ons or Riders such as Critical Illness, Waiver of premium, Accidental Disability rider. Extra coverage contains with extra premium to be paid by the customer under the term insurance policy.
- Return of Premium Term Insurance: Return of premium term insurance plan covers death benefit and survival benefit both in a term insurance policy. The premium paid by the policyholder for live coverage and the remaining amount for the investment to repay the premium amount at the end of the policy period. In the policy period, the demise of the policyholder happens the sum assured amount is given to the nominee.
- Increasing Term Insurance Plan: The increasing term insurance is one of the term insurance policies that sum assured increases with the completion of each year. The sum assured value of the second year is greater than the first year; the premium of the policy is constant throughout the policy period. The higher the percentage, the higher would be the premium to be paid under the increasing term insurance policy.
- Decreasing Term Insurance Plan: This plan works as the sum assured under the policy would be decreasing with each passing year. The percentage under this policy decreased every year until the policy payout or the end of the coverage period. This policy premium remains constant throughout the policy term.
- Level Term Insurance Plan: This policies sum assured remains constant throughout the policy period and the death of the policyholder happens the premium amount paid to the nominee. Level term insurance doesn’t have the choice of increasing the sum assured as and when required, it is requested to people opt for less than 10 years. For term plans with more than 10 years, the policy term the level term insurance plan has higher premiums and the sum assured under the plan would remain constant.
- Critical Illness Term Plan: If any disease or illness reduces the chances of living and the treatment for which is lengthy? Most of the term life insurance policies cover a certain number of illnesses under the Critical illness add-on on payment of extra premium.
- Waiver of Premium Plan: In case of accidental disability or diagnosis with critical illness the future premium payable under the term insurance policy would be waived off by the insurance company under the Waiver of Premium rider.
- Accidental Disability Plan: It covers the claim in case of death or disability of the policyholder. In case of death of the policyholder due to an accident, the base sum assured of Rs.1 crore term insurance and the Rider sum assured of Rs.50 Lacs would be paid to the nominee of the policyholder.
Term Plan Comparison with Premium and Coverage
| Company |
Term Plan |
Premium Per Month |
Coverage |
| ICICI Prudential |
iProtect Smart |
Rs.647 |
Waiver of premium, Accidental death benefit & Critical Illness |
| PNB Met Life |
Mera Term Plan |
Rs.585 |
Waiver of premium |
| CANARA HSBC OBC |
iSelect |
Rs.480 |
Accidental death benefit |
| TATA AIA |
Tata Maha Raksha Supreme |
Rs.927 |
Accidental death benefit & Critical illness |
| AEGON |
iTerm |
Rs.479 |
Accidental death benefit |
| HDFC |
Life Option |
Rs.709 |
Waiver of premium, Accidental death benefit & Critical Illness |
| SBI |
eShield |
Rs.589 |
Accidental death benefit |
*Premiums given are for illustration purposes only* Please refer to the website for the exact premium.
Why Compare Term Insurance Plans at PolicyBachat?
At PolicyBachat, online term plans comparison is simple, easy, and hassle-free. The best term insurance plan in India can be found on the portal after entering the basic details of the policyholder for Term life insurance quotes online such as gender, occupation type, monthly income, date of birth, name of the applicant, Email address, bank account details, etc.
The best term insurance plan is the one that offers the maximum coverage at affordable premiums and with all the possible add-ons. To get the best term insurance plan please talk to our life insurance expert who will guide you in selecting the best term insurance plan in India. We are working with 20+ top term life insurance companies to give the best insurance policies to our customers.
Any individual with financial difficulties should consider buying an online term insurance policy. This includes young professionals, parents, married couples and people who want to add tax benefits as a term insurance plan provides tax benefits under section 80C of Income Tax Act 1961. Hence, any individual who wants to provide life protection to their family at an affordable premium rate along with the benefit of tax exemption should purchase a term insurance policy.
Conclusion
Comparing term insurance online can help you find the best policy for your needs at the most competitive rates. With so many different policies available, it can be difficult to decide which one is right for you. By comparing term insurance quotes online at PolicyBachat, you can easily see all the options available and make an informed decision about which policy will be best suited to meet your needs.