India Term Insurance, Indian Term Insurance, Term Insurance India

By: EconomyWatch   Date: 26 May 2010

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For young couples who have just started their life together, there are many priorities, such as buying the essentials, a car and a house and starting a family. At this time when the future seems endless and life is full of energy, India term insurance is the farthest thing from these young minds. However, Indian term insurance is the most critical thing to buy, since it ensures that one’s dependent family members have the basic financial protection in the event of the policyholder’s death. Term insurance India, which provides cover for a specific period, is the simplest and cheapest form of life insurance.

India Term Insurance: Myths

When it comes to buying financial security for the family, young people turn to bonds, stocks and other alternative forms of investment, instead of India term insurance. Their actions are prompted by several misconceptions about Indian term insurance that distance people from this critical form of financial security. Some of these myths are:



  • This insurance is necessary if you are the only earning member of the house: Even if your spouse is earning, the earning of one member will disappear if anything happens to you. This can badly hit the surviving members’ living standards.

  • You do not need life insurance in case you are not earning: The spouse that stays home provides services, such as cleaning the house, cooking, caring for the children and managing the household, the cost of all this is mostly underestimated. In your absence, the costs of getting help to manage all these tasks could severely cripple the family’s finances.

  • An India term insurance policy is the best option and can be easily renewed at the end of each term: This is not as simple as it sounds. Before renewing a policy, an insurance company conducts a through review of the policyholder’s health status and age. The company then resets the premium rates to match the policyholder’s age, making the policy highly expensive. There is a probability of the company refusing to renew the policy, in case it finds policyholder in poor health.



  • You can receive better rate of return if you invest elsewhere. The prime aim of India term insurance policy is financial security for dependents when you are not there. Insurance and investments have their own use and must not be confused with insurance cover.


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