Term Insurance with More Than 100 Years of Coverage
A term insurance plan is the simplest form of life insurance. Term insurance has gained recent popularity amongst policy seekers over the years. It provides life coverage for a limited period of time. If the insured passes away during the term of the plan, then the dependents of the insured can claim death benefits.
Why is Term Insurance Important?
Opting for term insurance is the best way to ensure that the financial future of your family is secured if you are not around. Term insurance is important because it fulfills numerous liabilities such as:
- It acts as a financial shield for the family.
- It helps in covering for any loans or debts.
- It provides an assured sum as a death benefit so that your loved ones can sustain their current lifestyle.
- It protects the policyholder in case of any critical illness or disability.
- It also provides supplementary income in situations of loss of income caused due to illness or accidental disability.
- In case of the accidental demise of the insured, the term plan provides an additional sum assured to the dependents of the policyholder.
Things to Consider While Buying Term Insurance
There are endless term insurance plans in the market, some that even offer term insurance till 100 years. However, there are certain things that one may keep in mind before opting for any term insurance plan. In order to get the best plan in your budget, it is important to carefully compare the different kinds of term insurance plans available and choose the one that suits your requirements the best.
Some of the important things that you should keep in mind when buying a term plan are:
- The reliability of the insurance provider
- The extent of coverage offered by the insurer
- The best time to buy the insurance policy
- The add-on riders available and the benefits
- The premium rates offered by the provider
- The claim settlement ratio of the insurer
- The minimum and maximum age
Features of a Term Insurance Plan
Most term plans are carefully conceptualized to act as a financial shield for your loved ones in unforeseen circumstances. Some features of a term plan are:
- These policies offer flexibility by allowing the applicants to choose a single life basis or a joint life basis.
- The term of this policy ranges from a minimum period of 5 years to a maximum period of whole life. Some insurance providers offer 100 years term plan
- It is advisable to go for a longer period insurance policy because the premium charges get locked and the insurer pays the same premium for the entire term.
- The death benefit is paid as the sum assured to the beneficiary in case of uncertain death of the insured.
- Additional riders are available under plan to provide additional coverage at an additional premium.
Impact of Age on Your Term Plan
When you are planning to opt for any term insurance, it is important to know the impact of your age on the premium charges of the policy. The earlier you buy the insurance policy, the more beneficial it is for you in the long term. This is because if you buy a policy at an early age, you can get a great amount of coverage at affordable premium charges.
There are numerous term insurance plans in the market, some of the providers offer whole life coverage with their plans, which means that it provides term insurance till 100 years or more.
The advantage of a 100 years term plan is that if your family is exposed to financial risk that extends beyond your life, your term plan can cover it. These plans also cover term insurance till 100 years and save you from the extra premium charges.
If you are planning to buy a 100 years term plan, then it is advisable to keep the above-mentioned things in mind in order to choose the plan that adds the most value for you.