For high-net-worth individuals (HNIs), term insurance is more than just life protection - it’s a
strategic estate planning tool.
HNIs often manage complex assets, properties, and business interests. A large term plan ensures
liquidity, covers estate taxes, and transfers wealth smoothly without
disrupting legacy
assets.
Today, insurers offer customized term plans up to ₹50 crore or more, with flexible
payouts, whole-life
options, and estate settlement benefits.
PolicyBachat helps HNIs compare high-value term covers across multiple insurers -
ensuring competitive premiums, strong claim records, and efficient succession planning.
What Is HNI Term Insurance?
It’s a high-value term policy designed for individuals with significant assets, high income, or business
exposure.
Coverage typically starts at ₹1 crore and can go up to ₹50 crore or
more, depending on
financial
eligibility.
Ideal For:
- Entrepreneurs
- Business owners
- Senior professionals
- Investors or landlords
- Family offices
Why HNIs Need Term Insurance
- Estate Liquidity: Avoid forced asset sales to pay estate duties or taxes.
- Debt Protection: Settle personal or business liabilities quickly.
- Wealth Transfer: Ensure smooth inheritance without dispute.
- Business Continuity: Cover key-person or partner risk.
- Tax Efficiency: Premiums and payouts under Sections 80C & 10(10D).
Features Of HNI Term Plans
| Feature |
Description |
| High Sum Assured |
₹1-₹50 crore (based on income & assets) |
| Flexible Tenure |
10-99 years (or whole-life cover) |
| Payout Options |
Lump sum, staggered income, or both |
| Custom Riders |
Critical Illness, Key-Person Cover, Waiver of Premium |
| Multi-policy Option |
Split coverage across multiple insurers |
| Premium Payment |
Regular, limited pay, or single pay options |
Eligibility Criteria For HNIs
| Parameter |
Requirement |
| Annual Income |
₹25 lakh and above (individual or family income) |
| Age Limit |
18-65 years |
| Financial Documents |
ITRs, audited accounts, or CA certification |
| Medical Test |
Mandatory (comprehensive) |
| Occupation |
Business, profession, or senior management |
| Payment Mode |
INR or NRI transfer (for global residents) |
Sample Premium Estimates
| Age |
Sum Assured |
Policy Term |
Annual Premium (₹) |
| 35 |
₹5 crore |
30 years |
₹42,000 |
| 40 |
₹10 crore |
25 years |
₹75,000 |
| 45 |
₹10 crore |
20 years |
₹98,000 |
| 50 |
₹15 crore |
15 years |
₹1,45,000 |
(Premiums vary by insurer, health, and payment mode.)
Tax & Estate Advantages
- Section 80C: Deduction up to ₹1.5 lakh on premium.
- Section 10(10D): Tax-free payout to nominee.
- Estate Planning: Funds liquidity for asset transfers.
- Business Deductibility: Key-person premium deductible under Section 37(1).
Riders Recommended For HNIs
- Critical Illness Rider (₹25-₹50L): Covers major health events.
- Accidental Death Benefit (ADB): Double cover in case of accident.
- Waiver of Premium (WOP): Keeps policy active after disability.
- Key Person Cover: For business partners or key executives.
- Income Benefit Rider: Provides monthly income for dependents.
Who Should Consider High-Value Term Cover
- Entrepreneurs: To protect business continuity and family income.
- Professionals: Doctors, CAs, senior executives with high income.
- Real Estate Investors: To handle debt and property distribution.
- HNIs with Dependents Abroad: For tax-free inheritance liquidity.
- NRIs: To balance global estate exposure with INR assets.
Local Insights
- Avg. HNI cover: ₹12.5 crore.
- Top insurers offering ₹5-₹50 Cr cover: HDFC Life, ICICI Prudential, Max Life.
- Avg. premium for ₹10 Cr (age 40): ₹75,000.
- Common purpose: Estate planning (42%) and business succession (36%).
How To Buy HNI Term Insurance Online
- Visit PolicyBachat → Term Insurance → “High-Value Cover” filter.
- Enter your age, annual income, city.
- Choose desired coverage (₹5-₹50 crore).
- Compare quotes from top insurers instantly.
- Submit ITRs and KYC for financial underwriting.
- Complete free medical check-up.
- Get approval and digital policy within 5-7 days.
Best Insurers For HNI Term Insurance
| Insurer |
Unique Advantage |
Max Cover (₹ Cr) |
| HDFC Life Click 2 Protect Super |
Whole-life up to 99 years |
50 |
| ICICI Prudential iProtect Smart |
Strong global claim network |
30 |
| Max Life Smart Secure Plus |
High sum assured with CI rider |
25 |
| Tata AIA Sampoorna Raksha Supreme |
Premium whole-life cover |
50 |
| Bajaj Allianz Life Smart Protect Goal |
Flexible payouts + legacy options |
25 |
Claim Structure For Large Sum Assured
- Claims above ₹1 crore undergo enhanced verification, but are processed under IRDAI’s
30-day limit.
- For joint policies, payout splits by nomination ratio.
- Corporate-owned (key person) policies pay to company.
FAQs
What is HNI term insurance?
It’s a large-value term policy designed for high-income individuals or business owners needing ₹1–₹50
crore coverage.
Who qualifies as an HNI for term insurance?
Anyone with annual income ₹25 lakh+ or substantial assets.
How is HNI term plan premium calculated?
Based on age, income, occupation, and financial underwriting (ITR or CA certificate).
What documents are needed for large cover?
ITRs, PAN, income proof, bank statements, and complete medicals.
Can NRIs buy high-value term insurance?
Yes, with INR payment and global underwriting via partner labs.
Is ₹10 crore term cover realistic?
Yes, approved if your income supports coverage (usually 10-20× annual income).
Can businesses buy HNI term plans?
Yes, under key-person insurance for partners, directors, or executives.
Are payouts taxable for large covers?
No, fully tax-exempt under Section 10(10D).
Can I take multiple term plans from different insurers?
Yes, allowed - as long as total cover aligns with declared income.
Do HNIs get faster claims?
Yes, most insurers offer priority claims for high-value customers.
Can I include riders with large cover?
Absolutely - CI and ADB riders are available up to ₹50L-₹1Cr.
Can I change nominees for a high-value policy?
Yes, any time via endorsement or online update.
Can premium be paid annually or one-time?
Both options available: annual, limited-pay, or single pay.
What if my business income fluctuates?
Provide average ITRs of last 3 years; insurer will adjust eligibility.
Which is the best insurer for ₹10+ crore term plan?
HDFC Life, Tata AIA, and Max Life lead in underwriting experience for ultra-high
covers.
Customer Reviews
- “Took ₹10 crore cover - smooth digital process through PolicyBachat.” - Rajeev Menon,
Chennai
- “Perfect for my business estate planning.” - Anjali Kapoor, Delhi
- “Handled all financial docs seamlessly - excellent support.” - Rohit Agarwal,
Mumbai
- “Loved the limited pay till 60 + lifetime cover combo.” - Kiran Bhat,
Bengaluru
- “Saved time comparing HNI covers across 5 insurers.” - Sameer Khan,
Hyderabad
- “Claim ratio info gave me confidence to choose Tata AIA.” - Rakesh Iyer,
Pune
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