Joint Term Life Insurance Policy:
Joint Term Life Insurance is a type of Term insurance Plan. Various life insurance companies offer a host of term plan benefits, and couples can opt for a suitable plan based on their specific needs. Buying a single policy is a cheaper alternative to buying two separate policies.
What is Joint Term Life Insurance?
Joint Term Life Insurance is term insurance specifically designed to cover both partners under a single life insurance policy. In the case of the sudden demise of one partner, the death benefit in the form of sum assured amount paid to another partner. If both die at the same time, the children get the sum assured amount.
Types of Joint Term Insurance Plans:
A Joint Life Term Insurance policy is two types one is a basic term plan and another one is an endowment plan.
In this type of joint term life insurance, both partners pay a single premium for a fixed period. In this type of joint term life insurance, In the case of the death of one partner, the other partner will receive the sum assured as a death benefit. After which, the cover expires. Some policies of this type of joint life insurance have a limit on the claimable cover amount.
In this type of joint term life insurance policy, both couples receive the sum assured amount after the expiration of the policy. An endowment policy has an investment option. In this type of joint life insurance plan, In the case of the death of one partner, the other partner will receive the sum assured as a death benefit and endowment money on maturity of the predefined period. In this policy, after the death of one policyholder no need to pay the premium payments by another policyholder.
Advantages and Disadvantages of Joint Term Life Insurance:
A joint term insurance plan provides life coverage for both partners and has similar terms and conditions as that of an individual term plan. In a joint term life insurance plan, both husband and wife are covered under the same policy; it is easy to keep track of the plan. Some advantages and disadvantages of joint term life insurance are
Advantages of Joint Term Insurance:
A joint term life insurance policy provides multiple types of pay-out options to choose from to meet the requirements of different peoples. Various Pay-out Options of Joint term life insurance are
- In the case of the death of either partner, the surviving partner gets the sum assured as a lump sum amount, and then the policy ends.
- In the case of the death of one partner, the other partner will receive the sum assured as a death benefit.
The premiums paid towards a joint term life insurance policy are eligible for a tax deduction. The tax benefits are availed under sections 80C and 10(10D) as per the Income Tax Act, 1961.
Joint term life policies are available with additional riders to enhance the coverage of the insurance policy. The premium of a rider is charged as per the plan selected.
Save Money and Time:
Term life insurance is affordable, but the premium paid towards two policies is still higher than that paid for a joint term policy. So by choosing a joint term life insurance you can save money as well as time.
In joint term life insurance the premium paid by the customer is a single premium. Both partners do not have to pay the premium separately, either can do it, as both have access to the policy account.
Disadvantages of Joint Term Insurance:
Only one death pay-out:
Unlike a Term life insurance policy, a joint life insurance policy offers only one pay-out in the vent of the death of one of the policyholders. Even if both partners die, the nominee is allowed to only one death benefit.
In the case of a divorce, the joint term life insurance policy needs to be converted into a single term policy. If one of the partners rejects to make payments, the total burden shifts to the other partner.
Who Should Buy Joint Term Life Insurance?
Ideally, people with a financially dependent spouse should consider buying a joint term life insurance plan. It is a cost-effective financial tool, as the primary policyholder has to pay single premiums towards the policy. Joint life insurance is not only for couples. You can buy joint life term insurance policies with your child as well and not necessarily with your spouse alone. In case of death of the policyholder, it will serve as a life insurance policy and safeguard your child’s financial future, provide medical coverage and take care of his or her education costs, etc.
Joint Term Life Insurance Premium Calculator
The online joint life insurance calculator tool is used to calculate the premium of the joint term life insurance policy. You can calculate the amount of premium payable by entering a few details such as mobile number, name, date of birth, email address, occupation, type of policy, sum assured, gender, state, etc.
The premium paid by the customer is depending on many factors. The Factors affecting the premium are the age of the policyholder, type of policy, sum assured required, etc. The premium calculator tool will reflect the estimated premium amount that the policyholder will have to pay for the cover he/she requires based on these factors. Once you provide all the relevant details and then click on the submit tab, you will receive details regarding your monthly premium.
How to Purchase Joint Term Insurance Policy Online?
The process of buying a joint term insurance plan online has become simple with PolicyBachat. Joint life insurance comparison is the best way to get the best life insurance policy.For buying a joint term insurance plan online please visit our website Policybachat.com Following steps to purchase the life insurance policy online in our portal
- Step 1: Firstly, Enter the details such as Gender, Annual income from all the sources, Alcohol consumption and tobacco consumption, type of occupation, and salary, and Date of Birth. After this, you need to enter your contact details to facilitate a call from our agent.
- Step 2: Now the premium from different insurance companies will be displayed on the screen. You can edit the details such as Coverage, Term, Premium payment method, Mode of claim settlement, etc. Submit the details to get the desired premium. The premium can be changed by changing other factors such as Coverage required, mode of payment, etc.
- Step 3: The next step is to select the best life insurance plan and pay the premium to the insurance company before proceeding to fill the proposal form details.
PolicyBachat is an insurance web aggregator and approved by IRDAI. For joint term life insurance policy login to our portal and compares joint term life insurance quotes to get the best joint term life insurance If need help? Contact customer care number: 1800-123-4003.