“As per the Insurance Information Institute, only 1 in 3 people attempted to or took life insurance online.”
In the past few years, we have seen a subtle increase in the number of online term life insurance buyers but many people still have their doubts about buying insurance online. Given the speed at which due to the current situation and even otherwise, we are rapidly moving towards digitization. Hence, when it comes to term life insurance, it makes all the more sense. Not only is it the smartest option for risk cover but should ideally also be an integral part of every family’s financial plan.
In this article, we will help you understand the best way to get term life insurance i.e. Online! But, before that, let’s first understand in brief what term life insurance is.
Importance of Term Life Insurance
Term insurance is a type of life insurance plan that provides insured the coverage for a limited period of time i.e the term plan is being taken for. It can be availed at a fixed premium and is there to support your family when you are not around due to some unfortunate event.
Not just this, when you take term life insurance, you also enjoy tax benefits. It is always a wise decision to take this insurance at an early age as the older you get, the more it costs! The entry age for this plan is 18 years with the maximum age being 65-69 years.
Tip: You can get the plan when you are 18 or as soon as you start earning and nominate your mother and father and then if need be, change the nominees after getting married.
Now, let’s look at the benefits of getting one online!
Why Term Life Insurance Online?
- Easier to Compare - All the information related to term plans is in your pocket and on your fingertips. You can browse through videos and articles from credible sources to learn about various plans and compare. Besides, there are also various tools and apps available online to show you the comparison and help you in making the right decision.
- Lower Premiums - If the data available online is to be believed then a term plan can be bought online at 25%- 40% less amount than offline even when the insurer is the same. Reason for the same being no involvement of commission because there is no insurance advisor and very low administrative costs because no stationery and logistics are involved. Moreover, online purchase also portrays you as an informed, educated and responsible person which gives a boost to your profile and preference for lower premiums.
Some Term Plans are Sold Only Online
To name a few, LIC’s Tech Term, SBI life eShield, HDFC life Click 2 Protect 3D Plus and ICICI iProtect Smart Plan are some such plans. These term plans are available only online and better benefits and cheaper prices so that online purchases can be promoted. This is more feasible for both the insurance company and the insured. You can also take help of online broker companies for this!
- Better Security
Every transaction that you do online is done through a secured payment gateway. Online process ensures zero fraud and also the data you enter on any trusted insurer’s site is stored safely on cloud and encrypted. - More Speedy
You are presented with many options for payment and there is no person or distance or need to commute at all. You can choose from options like Net banking, UPI, debit cards, credit cards and others to make the payment. The payment is also processed on an instant basis. If by chance due to some issue the transaction is not complete, the amount is credited back to your account. It is fast, hassle-free and you also get a receipt.
Is This Stopping You?
There are many myths around purchasing a term insurance plan, here we bust a few most popular ones for you.
- They can’t be Customised- Customisations are available at different levels like at the time of marriage, kids in the amount. And a nominee can be changed by stating the right reasons for the same.
- Should be Bought at a Later Stage- It just increases the sum you pay, the older you get. So, it’s better to get it at an early stage.
- They are a Waste of Money- No, the amount you pay is negligible for the risk cover you get.
Embrace Comfort and Enjoy the Benefits!
When you get so many benefits like convenience, comparison, speed, security, lower premium and above all comfort, why would you not opt for an online alternative? If you need assistance, it is just a call away. You can get in touch with the insurance company through the contact details available on their page.
Lastly, make sure you have all your apprehensions put to rest before you invest your money and remember when praying does no good insurance helps.
