Term insurance is one of the most secure and the best ways to provide financial security to your loved ones and achieve the financial goals of life. However, with an extensive range of term insurance plans available in the market, it often becomes difficult to choose the best term insurance plan in India as per your own requirement and suitability.
Besides the various different factors that should be considered while purchasing a term insurance policy, choosing the right insurer is equally significant. Further, in this article, we will give some insight on how to choose the right insurance company and some tips to choose the best term insurance plan in India.
The insurance company plays a vital role while purchasing a term insurance policy. In order to choose the best insurance provider, it is very important to keep a proper knowledge of the claim settlement ratio of the companies. The factors that should be considered while choosing the best insurance company are:
You should always consider purchasing a term insurance policy from the insurer who has a higher claim settlement ratio. This way you can be ensured that the claim filed by the beneficiary will be processed on time.
The early claim arises in case of death of the insured, within the three years of policy initiation.The non-early claim is settled only by submitting the receipt of simple claim form along with the death certificate of the insured. Early claims need investigation prior settlement. Thus, the company requires more time in settling such claims. According to the instructions of IRDA the early claim should be settled in a time period of 1 month.
Lapse ratio specifies the policies which are terminated due to the failure of payment of premium. In case the policy lapses before enough premiums are paid by the policyholder, the insurance company will not be in a position to cover the early expenses of the policy. Thus, the policy buyers should always consider choosing the insurance company with a lower lapse ratio.
The service quality of an insurance company is one of the most important factors to consider. It showcases the attitude of the insurance provider towards the customers. It is very important that the insurance company should have a good customer support service so that all the queries of the insurance buyers can be taken care of. Moreover, by having a proper service quality, the insurance buyers can take the help of the experts and make an informed decision.
On the basis of the customers’ reviews, you can evaluate the insurer. In order to choose the best term insurance plans in India, you can go through the website of the company to check the reviews of the customers. This way you can ensure the reliability of the insurance company and zero in on the best term insurance plan in India.
In order to choose the best term insurance plan in India, it is very important to understand the financial requirement and what is the objective of purchasing a term insurance plan.
Having a term insurance policy is beneficial in many different ways. Let’s take a look at some of the benefits of having a term insurance policy.
Purchasing a term insurance policy totally depends on one’s own situation and requirement. The policy which is beneficial for others might not be suitable for you. Thus, there is a list of factors that should be kept in mind while purchasing a term insurance policy. By keeping the above-mentioned factors in mind you can not only choose the best insurance company to invest in but can also choose the best term insurance policy according to your own requirement and suitability.