When you hear the word ‘insurance’, your mind often thinks about products such as home, car, health, and term insurance. However, being an integral part of financial planning, insurance is way beyond these surface-level solutions that can be easily found with a little bit of research.
On purchasing a life insurance plan, you gain a payout in case of any unforeseen incident based on the conditions offered in the contract by the company. Therefore, you need to make sure that you know everything about the insurance plan you’re willing to purchase.
If you haven’t researched any insurance plans till now, here’s a good starting point for you. To make the process easier for you, we’ve compiled a list of some of the best life insurance plans in India that you might not even have heard about:
1. LIC’s e-Term Plan – Online Term Insurance Plan
Nearly seven years ago, the Life Insurance Corporation of India released its online term insurance plan in the financial market. Although they were a latecomer in the trend of online plans, LIC offers their e-term plan at a cheaper rate than the offline plans offered by the company.
It offers you the highest claim settlement ratio of 98.33% among all the other life insurers. Moreover, you also get the option to avail a minimum sum of INR 25 lakhs. It’s surely a good investment to secure your family with a LIC e-term plan.
According to the Government’s latest proposal, all the insurance companies under PSU are required to offer a rebate or discount on premium payments conducted online. Similarly, LIC offers a discount of up to 8% on the payment of the first premium.
2. Kotak Life Insurance’s Preferred e-Term Plan
If you’re looking for some of the cheapest online term insurance plans available, Kotak’s preferred e-term plan certainly fits the bill for you. With a decent settlement ratio of 89%, this online plan of the company highly resembles the insurance policy offered by Max.
Kotak’s insurance plan also offers you a feature known as ‘Recurring Payout’ that allows your family member to claim a part of the remittance upon your death, and receive a fixed monthly or yearly amount for the next fifteen years.
Additionally, it also offers another feature known as ‘Waiver of Premium on Total and Permanent Disability that allows people with medical conditions and disabilities to get their premium waived off at the time of payment.
3. Canara HSBC OBC Life Insurance’s iSelect Star Term Plan
With a wide range of options like spouse coverage under the same policy and whole life coverage, the iSelect Star Term Plan offered by Canara HSBC OBC Life Insurance is certainly one of the best life insurance plans available in the financial market of India.
It offers you multiple payment options to deposit your premium, including short tenures like five to ten years, and payment during your working years. On top of that, it also offers you a return on all your premiums after the policy tenure is over, to help you get the most out of this policy.
4. AEGON Religare iTerm Plan
Recently, the AEGON Life Insurance Company has improved its settlement records significantly in the past couple of years. Now with a settlement ratio of 95%, the company offers one of the most prominent and beneficial insurance plans in India.
Similar to Kotak’s insurance plans, AEGON also offers some of the cheapest and most affordable life insurance plans in the entire market. Moreover, in addition to the settlement, it also offers a terminal illness benefit with the purchase of this insurance plan.
This allows the policyholder to gain 25% of the base amount on diagnosis of any kind of terminal illness. A customer can avail of a maximum of INR 1 Crore under this feature of the plan. Moreover, it also assures to provide a reduction on the base amount, determined by the beneficial amount paid.
There are all forms of deaths covered under this insurance policy, including terrorist attacks and acts of god. It also offers additional riders like ADB and critical illness that allow you to make your insurance plan even more beneficial for you and your family.
5. ICICI Prudential iProtect Online Term Insurance Plan
With one of the most consistent claim settlements in the insurance market, the ICICI Prudential life insurance offers you a settlement of 96.20% claims paid. Popularly known as iProtect Smart, this online insurance plan by the company is available at a very affordable and genuine rate.
In addition to settlement-related benefits, the plan also offers you a waiver of premium in case of any disability or medical condition. It also offers optional riders like critical illness cover and accidental death benefit riders, along with the standard features of the plan.
Due to the immense goodwill of the company, the plan is also considered one of the best life insurance plans available at a genuinely affordable rate.
6. Max Life Insurance’s Plus Term Plan
Among all the insurance companies available in India, the Max Life Insurance company lies second among the top companies with a proven settlement record. It offers a 96.95% claim approval rate and the premiums are relatively lesser for this company.
There are several additional riders such as accidental death benefit, and you can choose from two different options under this plan. The first offers you basic life cover with monthly income and the other offers you basic life cover with increasing monthly income.
Although opting for these features may result in a higher premium than expected, the benefits are surely worth the investment. It’s a great insurance plan for people who have no experience with life insurance and are getting such a plan for the first time in their life.
The Takeaway
There’s no way you can predict the risks that you’ll likely face in the unforeseeable future. With an insurance product, you can make sure that your loved ones are covered financially in case any unforeseen incident occurs in your family.
