Tag Archive | "Term Insurance"

Aegon iTerm Plan – Investing Small to Protect Big

  • Easypolicy
  • 14 Dec 2016

In today’s day and age, a number of horrific incidents happen daily and also more and more threatening diseases are discovered all the time. To get worried about your family thinking about their security in times when you won’t be there for them is very normal.

The key determinants of any good insurance Policy are Income benefit, rider benefit, life stage benefit etc. In terms of development, many private insurance companies have entered the market. One of the most successful and cost-effective plans are provided by AEGON Life Insurance.

AEGON Life Insurance

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 95%.

Aegon iTerm Plan: Aegon iTerm insurance plan is an online Term plan which helps you to build a secure future at minimal cost.

Why chose Aegon iTerm Insurance?

The policy definitely has some key benefits for the policy holder:

Key Features:

• Maximum Coverage Upto 80 Years
• Longest Policy Term ; 5-62 years provided
• Complete Pack of Riders -Accidental Death, Critical Illness, Disability, Waiver of Premium, Women Critical Illness & Terminal Illness
• Enjoy the Inbuilt Terminal Illness Rider & Life stage option
• Enjoy the income option with 1.2% of SA till 100 months.

Death benefits:  On the death of policy holder, the nominee will receive:

•    As a lump-sum payment, or
•    As fixed monthly income for 100 months, or
•    As a combination of the above

At the time of claim, the nominee will be able to choose the option of being paid the Total Sum Assured in one single lump-sum immediately. The Policy will terminate on payment of the above benefits.

Inbuilt Terminal illness benefits: On diagnosis of any terminal illness an amount equal to 25% of the Total Sum Assured will be paid immediately as a lump-sum. Subsequently the total Death Benefit will be reduced by the amount equal to the benefit paid under this clause.

Flexi Life Stage:  The Sum assured amount can be increased. The option is available for the following events:

•    On Marriage – 50% of Original Sum Assured 
•    Birth/Adoption of 1st child – 25% of Original Sum Assured 
•    Birth/Adoption of 2nd child –25% of Original Sum Assured

Riders Benefit: The plan has several riders also such as Waiver of premium, Women Critical Illness, Accidental death, Critical illness & Disability Rider.

Market Comparison

In case you are still confused, here is a thorough analysis of Aegon Life- iTerm plan along with other online term plans in the market.

Note: All the above Premium amounts are for the 30-year-old male, non-smoker, for Rs 1 Crore Sum Assured with 30 years Policy Term. Premium Amount is for the yearly mode.

The True Value of a Term Insurance Plan

  • Easypolicy
  • 11 Nov 2016

We care so much about ourselves, we hold grudges with people who treated us not the way we wanted or hurt us in some way whereas we have the tendency to be favorably inclined to those who did something nice for us. Our lives are so much centered around ourselves that we do not even realize but we often fail to the realization the we enrich our lives only when we create values for others. It is often said that man is a social animal, this statement is very deep, it emphasizes that man or human beings have in their nature to do something for others so that their communities can develop. Wise people say that charity begins at home.  It is good if you think of doing great things for the society but first priority is to ensure security of your dependents.

I have a friend who has a deep grudge that because his parents died quite early in his life he had to struggle a lot both emotionally and financially. When we are close to someone it is very difficult to overcome their loss. To save someone from this loss is in no one’s hand, people can give their shoulder to cry or console a distressed person in any other manner but no one can replace that life in one’s life. But thankfully we can do something about the financial part. Had his parents taken life insurance policies he would have been saved from going through that financial mess, their death would have been a little easier for him. He could have drawn some respite in the fact that he didn’t have to compromise on his studies. Such financial troubles have made him very hateful for life and he often curses his destiny. Although, many of those optimistic people who believe in the power of gratitude would say that he has a bad attitude towards life but speaking very practically not everyone has that kind of developed higher wisdom.

Alright, I may have gone a little tangent from the topic, the crux of the topic is be secured and secure your family. We can do a whole lot of things when we know that we are secured. A mind full of fear and anxiety often leaves no space for creativity and determination. Taking more and more control of your life makes you more confident, even the fear of death dilutes when you know you have made arrangements for your family to survive well post your death. This is the reason that we invest in a life insurance plan.  A life insurance plan, particularly a term insurance Policy is a beautiful product that protects your family from going into financial ruins in case God physically separates you from them.

Start taking out a small portion of your earnings and deposit the Premium for this plan. This small endeavor is creating a huge value for your family.  Apart from the monetary benefit the value would be gratitude. Your family would have no grudges from you and would always thank you for this step. They would proudly tell others that because you took that step for them they got saved from going into miseries. Your decision would inspire many others to take similar steps. That is the value you will be creating in the society. You wouldn’t want your dependents to be another lot of hapless people who would live their lives cursing their destiny post your death, would you? Then don’t be miser when you hear about a Term insurance plan. Many short sighted people often argue that this plan has nothing for them, no living benefits. These people need to broaden their thinking and shouldn’t limit themselves to themselves. Life is much beyond the self and you would be surprised that life gets enriched when you think beyond self.

How one Can Choose The Best Term Insurance Policy?

  • Easypolicy
  • 29 Aug 2016

Whenever we are investing in or purchasing a financial instrument, a lot of things are hovering in our minds. We do in depth study about the same and compare Term plan against the plans of other companies. Similarly when we take a loan, we compare interest rates of various banks and lenders when we apply for loan, similarly we compare rate of returns of various investment schemes when we plan to invest our money. Buying a term is no different; you need to analyze how much cover you need to replace your income after paying off your liabilities and then compare Premium of various companies.

Like any other investment scheme or financial instrument the amount payable i.e. the premium is not the only thing you should ponder upon. There are many other factors that you should consider like, the term of the policy, Claim settlement ratio (CSR) of the company and its market reputation. You buy a term plan so that your family does not suffer financially if unfortunately something happens to you. Thus, you should buy from a company having a good reputation of settling claims without complications and tantrums. To access this one needs to compare the claim settlement ratio i.e. the number of claims the insurance company settles out the total number of claims registered with it during the year. The CSR closest to 100% is best, considering that you won’t be around to get the claim from the company, the claim process should be very easy and convenient for your family to recover the money. Complex claim process might discourage them and they may feel harassed. It is very likely that they may be going through a lot of emotional stress from your death. In that scenario you won’t want them to struggle getting the claims.

Another important thing is to compare the term or duration the company is providing. It is always advisable to go for the maximum term. Your earning life i.e. life prior to retirement should be covered as till then there would be loss of income from your death, post retirement there would be no such loss. If you are in business or profession where there is no defined retirement age, you should go for the maximum term you can get to increase the chances of your family getting the claim.

When we are choosing a term plan there cannot be one best product for every person as each of us differ in our needs and preferences. Some people are comfortable with paying annual premium; some are better paying a monthly, quarterly or semi-annual premium. Thus, on the companies that offer them premium paying mode of their choice is the best for them.

Similarly, the payout of companies differ, some companies pay a lump-sum whereas others pay periodically. There are companies that provide option for both. If you think your dependents are mature and can manage a lump-sum amount without carelessly spending it, then you can go for lump sum option or else periodic is better for you.

 Also, you may know that term plans are highly customizable. There are many extra features called Riders that you can add to your term plan to enhance its utility and Coverage by paying a little extra on premium. You may sit with your agent or study these riders online to assess what all riders suit your life requirements. You can compare companies on whether they provide the rider you are looking for. Attaching such riders you can strengthen your term plan so that it best serves your requirement at the minimum price possible.