Bandhan iTerm Term Insurance Benefits

Aegon Life iTerm Plan comes in three plan options, which differ in terms of benefits offered under them. Following are the benefits explained under iTerm plan offered by Aegon Life insurance:

1. InstaCover

Under the InstaCover benefit, the insurance company pays the claimant the base sum assured if the life assured dies within the InstaCover period. The benefit is paid in a lump sum, provided the insurance company has received the completed application and the required policy premium. Available in all the plan options, namely, Life Protect, Protect plus, and Dual Protect, this benefit will be applied during the InstaCover period as per the specified terms and conditions.

2. Death Benefit

If you have opted for a single pay policy, then the death benefit will be the highest of:

• 1.25 x single premium; or
• Effective sum assured

In regular pay or limited pay policy, the benefit paid is highest of:

• 11 x Annualised Premium; or
• 105% x total policy premiums payable (excluding taxes) as on the date of death; or
• Effective sum assured

In case of death of the life assured during the policy term, the death benefit paid is:

• 100% of the lump-sum benefit; and
• 1.2% of the income benefit, every month for 100 months

3. Terminal Illness Benefit

If the policy is in force and the due premiums have been paid, then in case of diagnosis of a terminal illness, 100% of the death benefit amount is applicable as on the date of diagnosis of the illness. Note that the policy will terminate when the benefit is paid.

4. Auto-Increase of Cover Benefit

Aegon Life Insurance increases the sum assured by 5% of the base sum assured (simple rate) each year from the beginning of the second policy anniversary if the policy remains in force.

5. Survival Benefit Under Dual Protect Plan

The insurance company will provide you the specified survival benefits if you survive till the age of 60 years, provided the policy is still in force and the due premiums are paid.

6. It Pays to Quit Benefit

There is an option for smokers to reduce their premiums from the 2nd year, under the ‘It Pays to Quit Smoking’ benefit.

7. ‘Go Healthy’ Benefit

Under this benefit, you can avail of preferential terms on renewal if suffering from lifestyle-related health conditions.

8. Tax Benefits

You can avail of tax benefits as per the availing tax laws, on the premium paid for this plan.