Investing in term insurance is a necessity.Life is unpredictable and uncertain, and the rate of inflation is quite high.Undoubtedly, you would want your loved ones to be financially protected in case something unfortunate happens to you. A term insurance plan will help ensure that your dear ones live a stable and comfortable life even after you are no longer around to take care of them.
A term insurance plan covers you from the risk of death for a specific period.However, it provides no maturity benefit on survival. The plan is available at an affordable premium and has a long tenure. The premium will depend on the age and health conditions. When it comes to making a choice related to the sum assured, you may opt for a lump sum payout or payouts on a monthly basis in case of an untoward incident.You need to consider various factors before deciding on the sum assured. These include occupation, age, lifestyle, liabilities, financial assets, number of dependents, and the rate of inflation.
In order to buy a term insurance policy, you need to give a medical test. This test will give an idea of your health and the premium amount will depend on your current health situation.If you have a family history of a certain disease, you may have the risk of being diagnosed with that particular disease due to which your premium will be high.Moreover, you can include multiple riders in your original policy. Many insurance providers have a mandatory medical test before issuing the policy. However, quite a few insurers provide you with term insurance without medical test. This plan will depend on your age and the sum assured. In this case, the maximum sum assured should not exceed INR 1 crore. To provide you with a term plan in such a manner, the insurer verifies your medical historyover a telephonic conversation and issue the policy if you are a healthy individual. Depending on the amount of cover and your age, certain insurers give you term insurance without medical test. This helps you in saving costs related to the test.
There are various term insurance providers in India. However, you should not entirely focus on those who offer a term plan without any medical test. You need to consider the other inclusions in such a plan. You need to remember that term insurance is subjective and what might work for you might not work for your friend. You need to choose a plan that works for you as per your finances and lifestyle. You can shortlist the providers who offer term insurance without a medical test but at the same time analyze how beneficial is such a plan for you.
Carve out time to do the research and compare policies. Read the fine print before choosing a provider, especially if you are looking for one who does not ask for a medical test. A term insurance plan is not for you but for your family and you need to choose the policy that is most suitable for your loved ones.