Factors for a suitable Life-Insurance Plan


A term plan is the simplest, most affordable life insurance policy. In the event of the policyholder’s death, his/her family gets the sum assured (cover amount). Thus, term plans are protection plans that shield your dependents from the financial impact of your untimely demise during the policy tenure. If you have dependents or financial liabilities, then it is prudent to get life insurance and a term plan is the cheapest variety of life insurance policy available in the market. However choosing one from the plethora available in the market can be difficult.

How should you choose the right online term plan?

To simplify the decision for you, we have summarized the features of six online term plan products available in the market.

How do these features affect your choice?

Contrary to what your friends and family may have told you, premium is most unimportant factor to consider.


1. Customisable Coverage:

Only three of the above insurers offer flexible coverage options with riders for terminal illness, permanent disability, accidental death and critical illnesses. Online term plans offered some renowned banks offer some form of protection against critical illnesses. For instance, in the case of the famous private insurance companies cover four major critical illnesses as per their existence once in India in both males and females. In addition, the Women CI rider is a women-specific rider, which covers cancer of women-specific organs, pregnancy complications and birth of child with congenital defects. The smart covers 34 critical illnesses in various categories - Heart and Artery conditions, Major Organ ailments, Brain and Nervous system complications, and others.

However, some renowned insurance plan allows anytime attachment for the riders, which translates to the flexibility available with the policyholder to alter his rider coverage based on one's requirement.

2. Income Replacement Option

The reason these riders are so important is because of events such as Critical Illness (CI), which can be a double whammy for a family. Firstly, the cost of medical treatments for such conditions can be exorbitant, even if properly planned. Secondly, if one member of the family is out of action, then one source of income stemmed.

For more information and queries, contact Moneymindz, the best free online advisory service.

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