Term Insurance: It is wise to buy term insurance early. At an early age, you will be able to lock in the insurance at a cheaper premium. Younger people have lower premiums.
Term Insurance: Insurance is not jusLt an expense, it is a protection cover. Only 3.7 percent of the people in India have insurance. Meaning a large part of the population is without insurance cover. Not buying insurance is injustice to loved ones. Especially in times like Corona, term insurance will be able to help your family financially. So don’t miss out on the right term insurance, not just for yourself but for your family. Now the question is how to choose term insurance and why is it important?
Why should there be term insurance?
Term insurance is a basic life insurance policy, which gives you a cover of protection. Many times people postpone term plans because, they consider it an expense, but its premium is not expensive. It starts with just Rs 400 and gets a good life cover. In case of sudden death of the insured, the family gets the entire sum assured i.e. sum insured.
Understand your income base and decide on the insurance cover based on that. Experts believe that there should be life insurance of 15-20 times the income. The cover can also be decided according to the age. If you are below 30 years of age, then take a cover of 25-30 times of the income. If you are between 30-45 years then take an insurance of 15-20 times of the income and if above 45 years then 10 times the amount of income should be insured. It is also important to estimate how many people are dependent on your income.
