In these uncertain times, it does become evident for us as adults to secure the present as well as the future of our loved ones. In such a scenario, investments like Term Insurance Plan emerge as a saviour. Term insurance is one of the best financial, cost-friendly and manageable life insurance coverage investment options to safeguard and protect the future of our family members. It comes with several term insurance benefits.
However, we generally have this question in mind whether we should buy a term insurance policy or not and if yes, then at what age, on what premium, and what additional riders should we get in with it? These are some questions that normally appear in our minds. Hence, we have come up with an informative article which will help our readers in getting an answer to all these questions pertaining to term insurance plans in India.
Who Should Purchase a Term Insurance Plan in India?
Witnessing the current times, one should undoubtedly go for buying term insurance. But, we often wonder when one should go to buy a term plan. So, read on and learn about it.
- Buying Term Insurance in the early twenties
Buying a term plan in India is essential from the early twenties when one starts earning. Initially, there is a reduced family responsibility, so one can buy a term plan. At this time, it will emerge to be beneficial for the person.
Moreover, there will be a lesser financial load at this stage. Moreover, in the 20s, one can plan their budget as well as a financial pathway for future security. Thus, it is best to buy a term plan wherein there is high cover at a low premium payment. At this point of time, there are several term insurance benefits which can be enjoyed by the person.
- Buying Term Insurance in the early 30s and 40s
As the person enters the early 30s and 40s, usually they are married and have young children. In comparison to what life was in the 20s, it is no more the same at this stage of life. The responsibility of a family is way beyond that of being a single working person. Moreover, people go for home loans or car loans or office loans at this point in time.
Managing expenses along with securing the future of one’s loved ones does become a challenging task if the entire family is dependent on one sole earning person. Managing education, fees, and medical expenditures (if any), along with household expenses, does bring in major stress. So, opting for a term insurance plan would definitely help in protecting loved ones from any financial uncertainties.
- Buying Term Insurance in the late forties and fifties
People in their late forties and fifties are at a very critical stage of their life. This time welcomes the onset of major expenditures such as higher education for children, wedding expenditure, etc. Thus, at this stage, one needs to build a bigger corpus to sponsor the upcoming expenditures. Moreover, as the cost of education is soaring and wedding expenditures are reaching the skies, a well-planned term plan offers appropriate coverage to policyholders. In addition to this, retirement planning does come under purview. So, one should smartly plan the finances well in advance to embrace the future with ease and comfort on the financial front.
- Buying a term plan during retirement:
The last innings, i.e. Retirement is a phase wherein one enjoys the fruits of hard work and struggle. At this stage, almost all the debts are paid off, the children are married and settled, and all the liabilities have been taken care of. But, as time is uncertain, there might be a possibility that one’s spouse or partner would not have adequate financial resources to lead a stress-free retirement. Thus, Term insurance like Tata AIA Insurance is ideally the right plan to buy as it covers disabilities and critical illness as well as serves as a great retirement plan.
Now that our readers are clear that term insurance plans are appropriate for every age, one should not delay in buying term insurance plans in India. A term insurance plan brings peace of mind and takes care of all the liabilities and future expenditures in unfortunate circumstances.