Prices Increasing soon Prices Increasing Soon

How to Hike Your Term Insurance Coverage After Buying The Policy?

Term insurance cover is supposed to provide financial protection to you and your family in case of uncertainties related to life. The responsibility of an individual’s life changes continuously, and so does the financial obligations too. Thus, it is worth reviewing the coverage of the term insurance policy if you think that your situation has changed from the time you purchased the term insurance plan. 

Read more
Gets ₹1 Cr. Life Cover at just
COVID-19 Covered
The Policybazaar Advantage
Dedicated claim support for family FREE
Upto 10% discount for buying online
Only certified experts will call you on 100% recorded lines
We are rated~
rating
6.7 Crore
Registered Consumers
51
Insurance Partners
3.4 Crore
Policies Sold

#All savings and online discounts are provided by insurers as per IRDAI approved insurance plans | Standard Terms and Conditions Apply

By clicking on "View plans" you agree to our Privacy Policy and Terms of use

~Source - Google Review Rating available on:- http://bit.ly/3J20bXZ

Life is Unpredictable! Protect your family’s future
Get ₹1 Crore Life cover starting from ₹384/month+
+91
Secure
We don’t spam
Check Your Premium Now
Please wait. We Are Processing..
Get Updates on WhatsApp
The Policybazaar Advantage
Policybazaar Advantage Icon
Dedicated claim support for family FREE
Policybazaar team will help and support you at the time of claim. A personal claim handler from our team of experts will get in touch with you when your nominee applies for a claim on our website.
Policybazaar Advantage Icon
100% calls recorded to ensure no mis-selling
We will make sure you get what is promised by the advisors. We conduct regular monitoring of our calls to make sure you get the best experience.
Policybazaar Advantage Icon
Exclusive lifetime discount upto 5% for buying online
The discounts will be valid for the entire policy payment term and is not available if you choose to buy the insurance through offline agents.
Policybazaar Advantage Icon
Advisors available in your city
Our advisors are available in more than 55 cities across India and can help you at your doorstep in understanding the plans and in documentation.
Policybazaar Advantage Icon
Refund at the click of a button
In case you aren’t happy with your purchase, you can cancel your policy hassle-free at the click of a button. We will help you with the cancellation and refund of your policy.

As a breadwinner of the family, you will not want your family to go through any financial crisis in case of any eventuality. Moreover, you will want them to maintain a good lifestyle even in your absence.

 To ensure that you provide the right financial protection to your family from time to time, you can consider increasing the coverage of term insurance plans at specific intervals of time.  Most of the term insurance policies offer the features of life-stage protection, which provides you an option to increase coverage of term insurance plan at different milestones of life, without any medical tests.

Let’s read further to know how to increase coverage of the term insurance plan and is it worth it or not.

How Life Stage Protection Features Works?

The feature of life-stage protection of term insurance plan provides an option to increase the sum assured amount by a specific percentage of existing cover at two major milestones in your life. First at marriage and second at childbirth (up to two children).

For instance, if you purchase a term cover of Rs.1.crore before marriage then you can increase the coverage by 50% i.e. up to Rs.50 lakh on marriage, and then by 25% i.e Rs.25 lakh each on the first and second arrival of the child.

Comparative Metrics

  Purchasing Additional Term Plan Choosing Life-stage Protection Features
Price Lower Rate Costliest
Medical Test Required Not required
Flexibility High Poor (have to stick with the same insurance provider and its terms and conditions)
Policy Issuance Takes time Faster
Future Premiums Can be lower as the mortality rates have decreased over the years A possible lower premium, but not to a great extent.  

How Much Additional Coverage do you Need?

Once you decide the need for extra insurance cover, the next step is to evaluate how much additional coverage you need, which will help you to fulfill your financial obligations from time to time. To analyze the right coverage amount jot down your current financial obligation and also add the future obligations to it like a child’s higher education, repayment of the loan, emergency fund, etc. Also, keep in mind the future rate of inflation.  By considering all these important factors you will be able to evaluate the additional coverage that will fulfill your requirements. 

Some of the term insurance policies have a cap on the sum assured amount which you can increase. However, the premium rate of the policy will also increase as it will be recalculated as per the increasing age remaining policy tenure and higher sum assured. You can opt for the option of life-stage protection within six months of the occurrence of the event or at the agreed cut off age. It is important to keep in mind that this feature is only available under the life cover option and not on the riders. The life-stage protection plan is limited to a pure term policy with the option of life cover. The advantage of having life-stage protection is that the increased coverage can be availed without any medical test.

If you purchase a separate cover, you will need to go through the process of documentation and medicals, which might add up to the premium rate due to a new medical condition. On contrary to this, in the option of life-stage protection, the medical test or documentation is not required and the premium rate is recalculated only on basis of the age.

Is It Worth It?

As per the market experts, the plain vanilla regular term policy with no add-ons works better. Ostensibly, Rs.1 crore term cover with no option of increasing life cover is inexpensive. This is because in pure term plan the premium gets fixed for the entire tenure at an early age. Whereas, in the life-stage option the increasing cover results to be the costliest option. 

Final Verdict!

If you are young, have fewer responsibilities to take care of and if you are looking for a hassle-free process later in various stages of life then you can choose this option. Specifically, if you don’t want to have a higher sum assured at the beginning of the policy purchase. However, you can skip the option of life-stage protection and purchase an additional term plan based on the different stages of life. Based on the assessment of responsibilities carried out once every three years, you should take a suitable further cover.

Different types of Plans


Premium By Age

Term insurance articles

  • Recent Article
  • Popular Articles
22 Feb 2024

Tata AIA 50 Lakh Term Insurance

Ensuring the financial well-being of your family requires

Read more
22 Feb 2024

SBI Life 75 Lakh Term Insurance

SBI Life Insurance Company offers a variety of sum assured to

Read more
22 Feb 2024

Kotak 50 Lakh Term Insurance

Securing your family's financial future involves detailed

Read more
22 Feb 2024

SBI Life 70 Lakh Term Insurance

Many people are confused about the ideal life cover amount and

Read more
22 Feb 2024

PNB 50 Lakh Term Insurance

Securing your family's financial stability involves thoughtful

Read more
07 Mar 2014

1 Crore Term Insurance - Buy ₹1 Cr Term Insurance Plan...

Term insurance is a type of insurance plan that offers financial security to your loved ones in the event of your

Read more
12 Jun 2018

Claim Settlement Ratio of Term Insurance Plan Providers

Claim Settlement Ratio (CSR) is an important parameter in the selection of an insurance policy. If you are going

Read more
27 Jun 2018

What Is Difference Between Term Insurance And Life Insurance

Life insurance plans help you create wealth, protect your family for the entire policy term, and save on your

Read more
24 Mar 2020

LIC Term Insurance 1 Crore

LIC of India offers various plans to help you secure the financial future of your loved ones. To ensure your

Read more
20 Aug 2014

Term Insurance for Women in India

Term insurance for women is a type of life insurance specifically designed for fulfilling women’s needs and

Read more
top
View Plans
Close
Download the Policybazaar app
to manage all your insurance needs.
INSTALL