Benefits of Buying Rs. 1 Crore Term Insurance

Term insurance is a kind of life insurance plan that is purchased for a specific period of time. The policyholder pays the premium according to the policy contract. After the death of the life assured, the plan beneficiary will receive the predetermined amount of insurance. Term insurance plans are considered the purest form of life insurance. Term insurance plans provide substantial protection at extremely affordable premium rates.

What is a Rs. 1 Crore Term Insurance Plan?

Rs 1 Crore term insurance is a plan that offers life insurance worth Rs 1 crore, which can be purchased online and offline. It has been noted that the Rs. 1 Crore sum assured amount of a traditional life insurance plan might require higher premiums than Rs.  1 Crore term insurance plans that offer affordable rates. These plans are strictly regulated by IRDAI (Insurance Regulatory and Development Authority of India). According to their instructions, the premium of a term insurance plan of Rs. 1 Crore has been reduced considerably and is affordable for the middle class. Let us learn about the benefits of a 1 Crore term insurance plan.

What are the Benefits of Buying Rs. 1 Crore Term Insurance Plan?

Here is the list of all the advantages of having a Rs 1 Crore term insurance plan.

1. Financial Protection

Individuals regularly make the mistake of selecting a plan with a low premium charge to save money. However, they don't realize that the low insurance won't be sufficient to preserve their own family's lifestyle and pay for their day to day expenses after the life assured’s death. Hence, buying a Rs. 1 Crore term insurance coverage plan may be a clever financial decision as the tremendous coverage of Rs. 1 Crore can assist your loved ones in an emergency.

Must Read: What is the Importance of Medical Tests in Term Insurance?

2. Affordable

As term plan premiums are so low, a sum assured of Rs 1 Crore will be available to a far bigger group of people. On the other hand, many people will be unable to afford a cover of Rs 1 crore for an endowment plan. Hence, we can say that term insurance is an accessible and affordable way for everyone to protect their family from life's uncertainties.

3. Meet Your Long Term Goals

Like every parent, you must also wish for your child's successful life. A Rs. 1 Crore term insurance policy can help you achieve long-term goals like children's higher education, marriage etc., by providing your dependents with financial support until they become independent. A higher sum assured amounts to higher benefits.

4. Fulfil Your Financial LIabilities

Besides considering the lifestyle costs and future aspirations of your family and dependents, you should also take your financial liabilities like loan or debt repayment obligations into account. The significant coverage of Rs. 1 Crore will be beneficial in repaying the instalments even after your death. This way, you can ensure that your family does not have to suffer from a financial crisis due to your personal loans.

5. Beat Inflation

A quick look back at history shows that living expenses have risen considerably in recent years. The cost of essentials has increased. Medical treatment has become more expensive, as have other services such as education and housing. Furthermore, this pattern is almost certain to persist in the future. So, if you want to ensure that your family has adequate money to combat inflation, buying a Rs. 1 Crore term insurance plan is a wise move.

Take Away

The sense of security and peace of mind a Rs. 1 Crore term insurance plan brings with itself is incomparable. You can rest assured that your family will be able to continue their lifestyle even after your death with such enormous coverage. Moreover, you can even buy a term plan with coverage higher than Rs. 1 Crore to build a stronger safety net.

Also Read: Should You Buy Term Insurance for Senior Citizens?

Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.