Online Term Plan

Online Term Plan

The insurance needs of today’s policy buyers are affected by a multitude of factors such as inflation, increased threat to life, health issues, developing lifestyle standards and more. Alongside these changes, the insurance industry has also evolved to make the insurance products and buying process more suitable to the customers of today.

As we are living in the digital age, insurance has also made the necessary shift, making online term plans accessible to more people in the country. Buying term plans online is becoming increasingly popular owing to its variety of benefits.

Before you begin looking for the best term insurance plan available online , it is best to understand how it works and the necessary things to keep in mind!

Understanding Online Term Insurance

An term plan is a type of life insurance that you can buy over the internet. Unlike traditional term insurance, online term plans allow you to compare, analyse, and select the appropriate financial life insurance coverage from the convenience of your own home.

Term insurance purchased online allows you to:

  • Examine the features and benefits of various term insurance policies.
  • Determine how much of a premium you will have to pay for the term insurance coverage you want.
  • Recognize the many rider alternatives available with these plans.
  • Save money on premiums when compared to purchasing a normal term insurance plan offline.
  • Significantly reduce the time it takes to buy something.

What to Look for in Term Plan?

Claim Settlement Ratio (CSR) The Claim Settlement Ratio or claims paid ratio indicates how many claims have been settled out of the total number of claims submitted in a given year. You can figure out the likelihood of your claim being settled by looking at this number.
Ratio of Solvency The solvency ratio indicates whether or not your insurer is financially capable of settling your claim if it becomes necessary. All insurance carriers must have a solvency ratio of 1.5, according to the IRDA (Insurance Regulatory and Development Authority).
Rider Advantages Another important thing to check when looking for the best online term plan is whether the insurer offers rider benefits. Critical illness, premium back benefit, accidental death, and permanent disability insurance riders, among others, should be available to add to your term online term plan.
Product Specifications You should always examine if a product's features and benefits match your needs before purchasing it. To pick the best online term insurance plan for you, make sure you read the policy's terms and conditions, perks, and so on from various insurers.

Why Should You Buy Online Term Plan?

With the online world becoming increasingly user-friendly, many insurance firms now provide the option of purchasing coverage online. Traditional term insurance policies have been replaced by online term plans as the new-age alternative. Policyholders may now choose the best plan for them online, and even calculate the premium they will have to pay based on the coverage they need.

Simply put, online term plans provide greater convenience and allow policyholders to take advantage of the best features from the comfort of their own home.

Let's take a look at some other benefits of buying term insurance online:

Why Should You Buy Online Term Plan?

With the online world becoming increasingly user-friendly, many insurance firms now provide the option of purchasing coverage online. Traditional term insurance policies have been replaced by online term plans as the new-age alternative. Policyholders may now choose the best plan for them online, and even calculate the premium they will have to pay based on the coverage they need.

Simply put, online term plans provide greater convenience and allow policyholders to take advantage of the best features from the comfort of their own home.

Let's take a look at some other benefits of buying term insurance online:

1. Lower Premiums

While purchasing a term plan online, you get lower rates of premium as compared to offline purchase. This is mainly because when you buy term plan online , it eliminates the need of an insurance advisor. This essentially means that the insurance firm can save on the cost of commission and the benefits can be forwarded to the policy buyers in the form of reduced premium rates. 

2. Time - Saving

This is a no-brainer when it comes to buying term insurance online. One of the significant benefits of buying term plans online is the time you can save which would be spent otherwise on multiple visits to the office branch. For online buyers, most insurance providers now have mobile-friendly websites and processes.

3. Transparent

Policyholders can quickly fill out their information without having to go via an agent with term plans online. This ensures that the policyholder understands what they are signing up for, that their information is valid and gives them the satisfaction of buying the best term insurance plan online. Since policy buyers are often worried about the insurance terms and policy details, the transparency of online term plans is a huge plus.

4. User-Friendly

When you buy something online, you can keep modifying the details and the results for it will display in real time. You can add or remove features and see how they affect the pricing of the term plan. This is significant since, in most cases, regular premium payments can last for decades.

You want the best term plan to protect your family adequately while staying within your budget. You can personalise your coverage and premium payment terms with an online term insurance calculator. As a result, you can research all of the available combinations online before making a decision.

5. Quick Comparison

It is also easy to compare different term plans available onine to find the one which suits you the best. Comparison is vital since it allows you to feel confident in picking the best term insurance plan available online for your family’s security. More significantly, you will be able to compare the benefits and features of your selected plans along with the premium rates. 

6. Swift and Secure Buying Process

Over the last few years, online payment processing has come a long way. This is also true for the insurance sector. As a result, premiums for online term plans can now be paid safely and securely online.

Insurers make it a point to keep their security systems up to date in order to provide a secure process that allows policyholders to pay their premiums in the shortest period feasible. This makes subscribing for an online term plan much more convenient for policyholders.

6. Swift and Secure Buying Process

Over the last few years, online payment processing has come a long way. This is also true for the insurance sector. As a result, premiums for online term plans can now be paid safely and securely online.

Insurers make it a point to keep their security systems up to date in order to provide a secure process that allows policyholders to pay their premiums in the shortest period feasible. This makes subscribing for an online term plan much more convenient for policyholders.

How to Choose the Right Term Insurance Plan Online?

When it comes to term insurance, there is no such thing as a one-size-fits-all solution. Your term plan should be tailored to your specific needs and ensure that your family is not financially disadvantaged in the case of your death. 

So, when you are looking for suitable online term plans, the following considerations can assist you in selecting the best plan for your needs:

1

Make A Thorough Evaluation of Your Requirements

If you are the sole breadwinner of your family, it is best to figure out how much money is needed to ensure that the family can meet their living expenditures and maintain their level of life in case of an unfortunate event. To arrive at a figure, you should consider the family's living expenses as well as the rate of inflation. There are other factors such as your liabilities which should be factored in to estimate the ideal coverage when you are looking for online term plans. This will enable you to find the best online term insurance plans that fits your financial requirements appropriately.
2

Arrive at a Suitable Sum Assured

When you buy term plans online, look for the variety of payout options as well as the premium paying options available with the plan. Most importantly, you, as the policy buyer should have the ability to customize the coverage offered by the online term insurance plan.
3

Add Relevant Riders

Aside from the death benefit provided by a term plan, several riders provide additional coverage. You will find a variety of such riders when you buy term plans online. Common riders such as disability coverage, critical illness coverage, and premium waiver coverage can be added for a little additional price.

Steps to Buy Online Term Plan

We, at Max Life Insurance are committed to making financial security more accessible to people with diverse financial backgrounds. Hence, our term plans are available for hassle-free online purchase. With the help of an online term plan calculator, you can evaluate your insurance requirements in a few quick steps. 

Let’s follow the purchase journey of Abhay, a 33-year-old man looking for online term plan to understand how it works:

 

 

Step 1

The first step for Abhay is to enter basic personal details such as his name, contact details, gender, smoking habits, date of birth and annual income range. These are crucial factors which will determine the coverage amount and duration when he is buying an online term plan.

Step 1

The first step for Abhay is to enter basic personal details such as his name, contact details, gender, smoking habits, date of birth and annual income range. These are crucial factors which will determine the coverage amount and duration when he is buying an online term plan.

Step 2

Next, Abhay selects the nature of his occupation, which is salaried and his education level. Depending on these factors, the online term plan calculator may show varying results for coverage amount, duration and consequently, the premium rates.

Step 2

Next, Abhay selects the nature of his occupation, which is salaried and his education level. Depending on these factors, the online term plan calculator may show varying results for coverage amount, duration and consequently, the premium rates.

Step 3

At this stage, Abhay can see an estimated premium amount for a cover of Rs. 1 crore which will last till he is 60 years old. He has the option to pay the premiums till the maturity of the policy, which is 27 years, or to wrap up the premium liabilities within the first 10 years of the policy period. Depending on what he chooses, varying premium rates will be displayed.

Step 3

At this stage, Abhay can see an estimated premium amount for a cover of Rs. 1 crore which will last till he is 60 years old. He has the option to pay the premiums till the maturity of the policy, which is 27 years, or to wrap up the premium liabilities within the first 10 years of the policy period. Depending on what he chooses, varying premium rates will be displayed.

Step 4

Next step is to attach rider benefits to his policy. These riders will come with a nominal additional premium with the online term policy. Adding these will lead to a changed premium rate along with enhanced coverage benefits for Abhay.

Step 4

Next step is to attach rider benefits to his policy. These riders will come with a nominal additional premium with the online term policy. Adding these will lead to a changed premium rate along with enhanced coverage benefits for Abhay.

Step 5

Once he has decided the rider benefits to be added to his online term plan, he must provide other personal details such as email address, full name and click on proceed.

Step 5

Once he has decided the rider benefits to be added to his online term plan, he must provide other personal details such as email address, full name and click on proceed.

Step 6

Lastly, he must select the payment method to complete the purchase of the online term plan, depending on the mode of payment most suitable to him.

Step 6

Lastly, he must select the payment method to complete the purchase of the online term plan, depending on the mode of payment most suitable to him.

Step 7

Once this process is complete, he will receive a confirmation e-mail and message from Max Life Insurance with the policy document of the online term plan.

Step 7

Once this process is complete, he will receive a confirmation e-mail and message from Max Life Insurance with the policy document of the online term plan.

Why Should You Choose Max Life Online Term Insurance

Best Term Plan Company Company of the year*^*
99.35%* Claims paid Over 2 Lacs+ Users
IRDAI Registered Registration No. 104
Rated by users

ARN NO: PCP/OTP/050821

Frequently Asked Questions

✅  Can I Get a Maturity Value If I Buy Term Plans Online?

When you buy a standard term plan online, you will only be eligible to receive the death benefit. However, there are premium back option available with policies which can be added to receive a maturity benefit from the policy.

✅  How Does Smoking Habits Affect My Online Term Plan Premium?

Term insurance is a life insurance policy, and insurance firms rely on risk assessments. Insurers charge you a greater premium if you are at a higher risk of contracting a severe illness. If you smoke, your premium will be more than if you are a non-smoker.

✅  Do I Get Tax Benefits If I Buy Online Term Plans?

Yes, the policyholder can claim a tax benefit of up to INR 1.5 lakh under Section 80C of the Income Tax Act, 1961.The tax benefit are as prevailing tax laws subject to change.

✅  Is It Secure to Buy Term Plans Online?

Premiums for online term plans can now be paid safely and securely online. Insurers make it a point to keep their security systems up to date in order to provide a secure process that allows policyholders to pay their premiums in the shortest period feasible.

✅  What Are the Documents Required to Buy Online Term Plan?

The following documents are required to purchase term life insurance online:

  • Proof of age
  • Proof of address
  • Proof of income/Salary slips
  • Passport-sized photos taken recently
  • Necessary medical reports

Please keep in mind that an insurance company's paperwork requirements may vary from case to case.

Check out the different Online Insurance Plans from Max Life!

Check out the different Online Insurance Plans from Max Life!

Additional Benefits through Riders

Additional Benefits through Riders

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