The New AEGON iTerm Plan: The Prime Features & Important Benefits

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The insurance sector in India has seen accelerated growth in the last decade. The growth curve of life insurance, in particular, has been upward, thanks to the awareness among the public. Another factor that contributed to the life insurance sector is the changes in government policy that approved private players and Foreign Direct Investment (FDI).

With the FDI in the insurance sector being increased to 49% by the Government of India, the insurance sector has witnessed a positive growth. The impact of this move is likely to result in the market’s growth to 350- 400 billion US dollars by 2020.

AEGON Life Insurance

There are twenty four life insurance companies in India which are private players. AEGON Life Insurance Company is a joint undertaking between Bennett, Coleman, and company and one among the leading financial organization. For the year 2015-2016, the insurance claim settlement ratio of AEGON Life Insurance is among the highest at 95.30%.

The varieties of products offered by the company include endowment plan, term plan, ULIP plan, protection plan, child plan, pension plan, group plan, saving plan and ruler plan.

The New AEGON iTerm Insurance Policy

The AEGON Life iTerm Insurance policy is among the carefully designed products offered by the company to help the customers fulfill their financial goals and plan the finances in a better way.
The most beneficial features of the policy are:

•    Life coverage up to 80 years of age
•    Life-stage benefits where the protection cover can be increased depending on the main milestones in your life
•    An alternative to increasing the life coverage
•    The option to avail terminal illness benefits
•    A comprehensive online plan that can be purchased through the company website

The policy details

Criteria Minimum number Maximum number
For Entry 18 years 65 years
Maturity 80 years*
Policy term 5 years 62 years* or up to the age of 75
Total sum assured 25 lakhs No limit
The premium frequency Single, Monthly, half-yearly or Annual pay*
Premium payment term A single pay or depends on the terms of the policy
Death benefit payout Can be chosen as a total amount or as a monthly (fixed) income for 100 months or as a combination of both*

Footnote:
*-   The criteria that have been revised as of November 2016, which according to the company’s press release is to improve insurance penetration.

The top benefits of the AEGON Life iTerm Insurance plan
The New AEGON Life iTerm Insurance program can help the end customer in several ways.
•    This plan is an intact way to secure your family’s future financial needs
•    In case of death of the breadwinner in the household, the other members can have a fixed monthly income
•    The insured can avail the tax incentives on the paid premium under Section 80C and claims received under Section 10D of the Income Tax Act
•    In case the insured is diagnosed with any terminal illness during the policy term, 25% (or less) of the sum assured can be availed as an advance
•    This plan has four additional riders with it
•    This plan does not have a maturity benefit
•    The insured can choose to opt for the additional optional coverage against critical illness, disability, and critical illness
•    The premium rates are lower for women and non-smokers
•    The life coverage can be increased at each stage depending on the needs
Comparison Chart
The below chart is the summary of AEGON Life iTerm Insurance plan details compared to ICICI Pru iCare Insurance plan and Aviva i-Life Insurance plan

    AEGON Life iTerm Insurance ICICI Pru iCare Insurance

 

 Aviva i-Life Insurance
  Minimum Maximum Minimum Maximum Minimum Maximum
Total sum assured 25 lakhs No limit 10 lakhs 1.5 crores 25 lakhs No limit
Policy Term 5 years 62 years 5 years Regular pay/30 years/10 years 10 years 35 years
Age Limit 18 years 65 years 18 years 75 years 18 years 70 years
Payment Mode Single, Monthly, half-yearly or Annual pay Single/Yearly Yearly/Half yearly
Riders Four Additional passengers for accidental death and critical illness Accidental death benefit No riders

The new AEGON Life iTerm Insurance plan is a cost-effective product that supports a huge life insurance cover for a comparatively meager premium amount.