What is LIC Term Plan

There is no ideal or perfect time for death. Irrespective of when it comes or

There is no ideal or perfect time for death. Irrespective of when it comes or to whom, it is a very painful occurrence. Things can get a lot worse if the person happens to be the bread earner of the family. Not only can it be extremely traumatic but at the same time, financially challenging as well. One of the smartest ways of handling such situations is to buy a term plan.

A term plan or term life insurance is a vanilla insurance whose only focus point is to offer a policy holder with life cover. It does not have a saving or investment component like other life insurance policies do. Thus, the policy does an incredible job of offering substantially large life cover at really affordable prices. To aid you in your decision to buy, you can opt for an LIC term plan.

LIC is without any doubts one of the oldest names in the insurance industry. It has been a pioneer and market leader in India for decades altogether. Thus, an LIC term plan makes absolute sense. On one hand, you get all the benefits of a term plan and on the other, you have the trust and reliability of a brand like LIC.

Should you opt for an LIC term plan, here are all the benefits that you get direct access to.

  • High cover for life at very affordable prices.
  • LIC offers even lower premiums for non-smokers.
  • A variety of sum assured and riders to choose from.
  • The flexibility to choose the duration of your policy along with the sum assured.
  • You can either buy the policy online or use the traditional offline method, the choice is yours.
  • LIC lets you convert a term plan into other insurance plans as well.
  • LIC has one of the best claim settlement ratios’ in the industry at 98%.

To take a step back, an LIC term plan is a simple plan that aims at offering life cover for a policy holder. Should a policy holder lose his/her life, the nominees of the policy will receive the sum assured as per the policy documents. They can then use the amount to continue with their lives without being dependent on anyone else.

An LIC term plan has a simple structure that almost anyone can understand. This makes it an even popular plan among the buyers. The only thing that one must be aware of, is that should the policy holder live through the term, there are no benefits to have had.

Which Term Plan Do You Own?

Before even going to the question, which term plan do you own, the bigger question is, do you own a term plan? Do not let its simple structure, flexibility and affordable premiums question the capability of the policy. It is, in fact, one of the most powerful plans that your money can buy at this point.

Picture this, a person in his/her mid 30s buys a dream house and a car of his choice. Due to an accident or any other unforeseen reason, the person loses his/her life. Now the onus of paying for the remaining loan amount for the house and the car is completely on the spouse. There might also be a legal side to such events.

In the event that a person had bought a term plan with sufficient cover, the proceeds of the plan would have taken care of the house and the car as well. Leaving a financially stable life for their spouses even during their absence. If there aren’t any hefty loans, the nominees or loved ones can use the money to build a life for themselves in the absence of the policy holder.

If you do not own a term life policy, it is highly recommended to buy one. All you need to do is compare the options on Coverfox and then choose the one which best suits your needs.

If you do already own one and it isn’t an LIC term plan, you might as well check some policies during your renewal. As mentioned above, you get the trustworthiness of a brand like LIC and its impressive claim settlement ratio speaks for itself.

Is Your Life Insured?

A lot of us do have some form of life insurance or the other. However, what we do fail to comprehend is the importance of the cover. One might have their lives insured but the sum insured also plays a major role. An LIC term plan will let you buy a substantial life insurance at affordable prices. so that you can focus on other things and enjoy your life to the fullest.