1 Crore Term Insurance
With time, one's financial responsibilities also tend to grow. Thus, it is very important for individuals to create a financial backup so that they can deal with the eventualities of life. The best way to secure the financial future of the loved ones is to have a term insurance plan.
By choosing an adequate amount of term insurance cover can help the policyholder to protect their family financially. These days, many insurance companies offer a 1 crore term insurance plan to cater to the requirement of insurance seekers.
These plans are gaining huge popularity among customers as it provides high insurance coverage at an affordable premium rate. Further in this article, we will elaborately discuss everything you need to know about 1 crore term insurance plans.
What is a 1 Crore Term Insurance Plan?
Term insurance plans generally serve the purpose of providing insurance coverage to the insured's family and ensure financial stability in the family in case of anuncertain demise of the insured during the policy term. The 1 Crore term insurance plan is a type of term insurance policy that guarantees payout to the nominee of the policy upon the demise of the insured. The plan, therefore, works as an economic backbone for the family of the insured. It also helps the surviving family members in fulfilling their aspirations by taking care of their financial needs.
Best Rs.1 Crore Term Insurance Plans
Various leading life insurance providers in India offer vast ranges of comprehensive term insurance policies that can be customized as per the needs of the insurance seekers. Let’s take a look at the term insurance plans that offer 1 crore insurance coverage
Max Life Insurance Smart Term Plan
Max Life Insurance Smart Term Plan provides term insurance coverage up to Rs. 1 Crore for a minimum monthly premium of Rs. 493 only. Some of the salient features and benefits offered by this particular Rs. 1 Crore term insurance plan are:
- This plan offers term insurance coverage to the policyholder until the maximum age of 85 years
- The plan can be customized easily
- The policy offers coverage against critical illness, death, and disability.
- The policy offers a flexible premium payment option for the policyholder.
- The policyholder can avail add-on accidental rider benefits to enhance the coverage of the policy.
- Moreover, the policyholder may also select one out of the multiple payout options I of the death benefit, whether as a lump-sum or as a regular monthly income
HDFC Click 2 Protect 3D Plus Life Option
This is an online term insurance plan which offers comprehensive coverage to the policyholder at an affordable premium rate. The 3D in this plan stands for three uncertainties of life i.e disability, death, and disease. The following are the features and benefits of the policy.
- The plan offers 9 different variants of cover options to choose from.
- The plan ensure financial security to the family of the insured in case of any eventuality.
- In case of a diagnosis of critical illnesses or total permanent disability, all the future premiums of the policy are waived off.
- The minimum entry age offered by the policy is 18 years, whereas the maximum entry age of the policy ranges up to 65 years.
- The plan offers the maximum sum assured amount up to Rs.1 crore.
ICICI I protect Smart Lump Sum Plan
This plan is considered as one of the best 1 crore term insurance plans available in the market. The plan offers a comprehensive cover-up to Rs.1 crore at an affordable premium rate of Rs.490 per month. Let’s take a look at the salient features and benefits offered by the policy,
- The insured can choose from four different payout options as offered by the policy.
- Tax benefits can be availed under section 80C and 10(10D) of the Income Tax Act.
- Under the life stage option, the policyholder can increase the coverage up to 50% after marriage.
- The plan offers optional add-on rider benefits like accidental death benefit and critical illness rider to enhance the coverage of the policy.
- The minimum entry age of the policy is 18 years whereas the maximum entry age of the policy is 65 years.
Edelweiss Tokio Total Secure Plus
This 1 crore term insurance plan provides extensive coverage to the family of the insured at an affordable premium rate. The plan provides cover against 35 critical illnesses. Here are the features and benefits offered by the policy.
- The insured can choose from four different payout options as offered by the policy.
- The plan offers the option to increase the monthly pay-out.
- An additional accidental death benefit rider is offered under the policy to increase the coverage of the plan.
- The policy provides coverage until the maximum age of 80 years.
- Tax benefits can be availed by the insured under section 80C of the Income Tax Act.
- The plan provides premium discounts for higher sum assured amount
- The plan offers 3 variants of cover options to choose from i.e.
1: Life cover
2: Life cover with basic health cover
3: Life cover with comprehensive health cover
Future Generali Flexi Online Term Plan
This is an online term plan that offers higher insurance coverage at an affordable premium rate. The plan provides financial protection to the policyholder's family and takes care of the liabilities in case of any eventuality. The following are the salient features and benefits offered by the policy.
- The plan offers a maximum sum assured of Rs. 1 crore or more.
- The minimum entry age of the policy is 18/25 years whereas the maximum entry age of the policy is 55 years
- The maximum maturity age of the policy ranges up to 65 years.
- The policyholder can avail tax exemption under section 80C of the Income Tax Act.
- The plan offers a flexible premium payment option
- The plan offers 3 different cover options to choose from i.e
- 1: Basic life cover
2: Fixed income protection
3: Increasing income protection
PNB MetLife Mera Term Plan
This pure protection INR 1 Crore term plan comes with a host of coverage benefits:
- An exclusive feature of this term plan is its maximum maturity age, which is 99 years
- The minimum age for entry in this term plan is 18 years
- The maximum age for entry in this term plan is 65 years
- The tenure of the term policy ranges from 10 to 81 years
- Some of the different rider benefits available in this Rs. 1 Crore term plan are: benefit from accidental death, benefit from accidental disability, cover for serious illness, protection for life stage, a benefit for critical illness, and benefit for joint life
AEGON Life iTerm Insurance Plan
AEGON Life iTerm Insurance Plan offers the following benefits upon buying this Rs. 1 Crore term insurance plan:
- The policyholder can enjoy his/her life cover till he or she is 100 years old
- Three different variants of this term life insurance plan are available
- These are Life Protect, Dual Protect, and Protect Plus
- The Life Protect variant offers increasing life cover at various important stages of life.
- It also provides terminal illness cover
- In the Protect Plus variant, the existing life cover sees an annual increase of 5% without having to pay any extra premium
- It also offers terminal illness cover
- The Dual Protect variant offers life cover along with terminal illness cover
- It also offers monthly payouts from 60 years of age till maturity
- One unique feature of this term plan is that it rewards the policyholder's switching to a healthier lifestyle as well as quitting smoking during the policy term
- Also, there are survival benefits given for Protect Plus and Life Protect plans
Who Should Opt for 1 Crore Term Plan?
Since the premium of the policy increases along with the rising age of the policyholder, it is advised to buy a term insurance plan while being young. Moreover, if the individual is a single earning member of the family and has dependents they should choose a term insurance plan which provides higher coverage up to Rs. 1crore. To determine the premium amount for such Rs.1 crore term plans, one can use the term insurance premium calculator available online.
Comparison of Plans Offering 1 Crore Term Insurance
There are many term life insurance providers in the market that offer different term insurance plans with INR 1 Crore sum assured.. Earlier, the premiums charged for such plans were on the higher side. However, after IRDAI's new regulations came into effect, insurance providers have reduced premium rates for such covers, When comparing the different term plans offered by different insurers, it is important to check out the underwriting norms, since lower premiums tend to come with hard and fast rules.
There are various offline term plans available as well, which may be availed by contacting the specific agents of the specific insurance providers. The premium rates of term insurances differ based on the addition of riders
Ans: One can get a 1 crore life insurance, either offline or online. However, purchasing the policy online provides the potential policyholder with more opportunities to compare between the best available plans
Ans: While the nitty-gritty tends to change from plan to plan and insurer to insurer, they generally come with the following features:
- The minimum age of entry is 18 years
- The maximum age of entry is 65 years
- Maximum age of maturity ranges between 80-100 years
- The minimum and maximum amounts of sum assured tend to differ from one plan to another
- The plans come with different rider benefits
- One may receive the death benefit in lump-sum or installment in the event of the death of the policyholder during the tenure of the policy.
While it might be sufficient for one person, it may not be so for another person. A potential policyholder can only decide upon a figure after considering his/her future responsibilities towards the surviving and dependent family members. This is mainly the reason people buy term insurance policies in the first place.
Given the current rates of inflation and the personal living standards which vary widely from person to person, it is very much possible that the existing home loans and many other major expenses like children’s education, marriage, care for the elderlies and partner’s retirement needs may just as well surpass this given amount. Therefore one must decide wisely.
It is generally recommended to a potential policyholder to buy term insurance with a sum assured amount, which is 15 to 20 times his/her annual salary. Whereas this is the so-called 'basic thumb rule,' it is not a one-size-fits-all kind of formula.
The ideal cover varies from one person to another depending upon salary, dependent members, ss well as the financial goals of the future.
Ans: While calculating an ideal amount of term insurance coverage, it is imperative to factor in the family's financial needs, which also grows with time. One also needs to think of any outstanding loans, the number of years that one's dependents will need a monthly income, and any other major expense, like children's higher education/marriage that have been planned to take place shortly. Then upon deducting the existing savings from the total amount, one gets an estimation of the life insurance coverage.
Written By: Paisawiki - Updated: 13 July 2020