New Delhi: Life is unpredictable, and not everything is in your hand. It is wise that you remain prepared to face adversities that may come your way. It is here that having the right insurance cover for your family and yourself becomes a priority.
Life term insurance plans from reputable insurers such as Max Life Insurance offer an economical way to make sure that the future of your loved ones remains secure, even when you are not there, by their side. In case of your untimely demise, these plans provide comprehensive financial assistance to your grieving family, so that they continue to manage their lifestyle expenses without depending upon anyone else.
When you are planning to buy a term insurance plan for your loved ones, you should look for a policy that offers you comprehensive coverage, and not only provide you death benefit. While traditional life term insurance plans offer various crucial advantages, it is the new age smart term plans that push the envelope in terms of provided coverage benefits.
What is Smart Term Plan?
Smart Term Plan is a customizable life term insurance plan that fits and protects all your evolving needs. It provides all-around financial protection to your family, in case of any eventuality. Key benefits of these smart term plans include –
- Comprehensive protection against physical disability, any critical illness (such as heart attack, kidney failure, and cancer) and death
- Multiple death benefit payout options, including lump-sum payouts and increasing monthly income
- Additional benefits in the form of Accidental Cover, Waiver of Premium and Critical Illness cover riders
- Return of total annualized premium paid towards the plan, upon the survival of the policy term
- Flexible premium payment options that suit your budget
- Options to increase your insurance coverage at important milestones in your life
- Comprehensive tax benefits under Section 80C, 80D, and 10(10D) of Income Tax Act 1961
Features of Smart Term Plans
Premium return on maturity
- In general, if you will buy a traditional life term insurance plans, there is no provision of maturity benefits. These plans only provided financial security to your family in case of your untimely demise within the policy tenure.
- New age Smart Term Plans; however, come with a ROP (return of premium) benefit. In other words, if you survive throughout your policy term, you will receive the total amount of premium that you have been paying for so many years, after which your policy terminates.
Financial protection against critical illness
- Smart term plans are a flexible life term insurance variant that helps you tackle any health-related issues or any medical emergencies.
- Upon being diagnosed with a life-threatening ailment, you receive a lump sum amount under the plan to pay for treatment expenses and hospitalisation costs. For example, if you are diagnosed with cancer, smart term plan can provide immediate financial help in the form of accelerated payouts to pay for radiation, chemotherapy and other treatments.
Life stages benefits
- Your priorities, aspirations, goals, and thought process changes with time, so you want your life insurance plan to be flexible that can evolve with changing life stages and goals.
- With life term insurance in the form of a smart term plan, you have the option to choose whether you want to increase your insurance coverage at crucial life stages such as marriage, parenthood, or becoming a homeowner.
Death benefit variant
With life term insurance plans, especially smart term plans, you have complete freedom to decide how your loved ones will receive the insurance money after your untimely demise. At the time of purchasing a smart term plan, you can determine the death benefit payout option for your family from one of the following options –
- Your family will receive the insurance cover amount all at once
- Your family will get the insurance money in the form of monthly income
- You can choose whether you want to increase the monthly payouts at a specific time to counter the rise in inflation
- Increase insurance coverage on reaching important milestones in your life.
With multiple insurance benefit payout options, you can make sure that you have complete freedom in determining how your loved ones should receive the insurance money and be able to use it.
Live your life without any worries
Want to live your life on your terms? Just purchase a life term insurance plan that is flexible and can offer all-around protection to you and your loved ones. While having term insurance coverage you prepare for life’s uncertainties, you must also prepare for less significant emergencies in life by investing in a short-term investment plan such as bank RDs (recurring deposits) and savings plans. To choose the best plan for the short term, you can refer to the various investment plan aggregators available online and compare different plans to choose one that aligns with your interests and goals.