by Jenny Dsouza
Published Wed, Apr 12th 2017, 10:04 | Business
We have around 24 Life Insurance Companies and as of now all insurance companies offer online term insurance plans. Hence, it is hard to shortlist the BEST among them. This post will help you in shortlisting the Top 5 Best Online Term Insurance Plans in India in 2017.
What is the meaning of Term Insurance?
Term insurance plans is the type of Life Insurance. If death occurs of the policyholder during the policy period, then his/her nominee will receive the Sum Assured selected. If policyholder survives till the end of the policy period, then he/she will not receive any maturity amount.
This is the reason, these policies cost you very less and cover a large amount of life risk. This is the PURE LIFE INSURANCE. Hence, anyone who have financial dependents must buy this product immediately.
What are the advantages of online Term Insurance Plans?
Nowadays all Life Insurance companies offer you online term insurance plans. The advantages of online term insurance plans are as below.
# It is convenient to buy as with the click of a button you can buy it.
# As there will not be any middlemen involved, the price is cheap than offline term insurance plans.
# You fill the proposal form on your own. Hence, an error of margin is LESS.
# Undue influence by agents is not there.
# Along with the discount of DIRECT purchase, if you buy through online then now life insurance companies will give you 8% on your FIRST YEAR PREMIUM. This is to promote cashless online transactions.
Top 5 Best Online Term Insurance Plans in India in 2017
Now let us shortlist the Top 5 Best Online Term Insurance Plans in India in 2017. How I selected the Top 5 Best Online Term Insurance Plans in India in 2017?
# How old are the companies
# Claim Settlement Ratio
# Premium Cost
# Plan Features.
How old are our Life Insurance Companies?
Below is the chart which explains the age of all life insurance companies. I am comfortable with the company which is at least 10 years old.
You notice that among 24 Life Insurance Companies, only 16 companies completed 10 years or more. Therefore, my target is among these 16 companies only.
The reason behind this criteria is that Life Insurance is a long-term contract between you and insurance company. Hence, the older the company the more comfortable I feel.
Source: https://www.basunivesh.com/2017/01/05/top-5-best-online-term-insurance-plans-india-2017/