Online vs Offline Term Insurance - A Comparison

Comparison of Term Insurance: Online vs Offline

Let us see the online vs offline term insurance comparison and how the two modes of term insurance policy purchase can affect you:

What is Online Term Insurance Plan?

An online term plan is a term insurance plan that is available for purchase online. With online term insurance, the entire insurance purchase process is done online without the help of agents. This plan offers the same financial protection, however, there can be a few differences between buying term insurance online vs offline. 

What are the Benefits of Online Term Plan?

Here is a list of benefits of term insurance plans online in India:

• Make an Informed Decision: Buying term plans online can help the policyholder understand the policy details and benefits directly from the company’s website. This promotes a more transparent buying process as the customer can learn everything about term insurance and its benefits at their own pace.

• Discounted Premiums: Term insurance plans are available at special discounted prices because the agent’s commission is removed from the premiums. With Policybazaar, you can get discounts on the premiums for the entire premium payment term and on the first-year premiums, as per the specific policy’s terms and conditions.

• Ease of Convenience: Buying term insurance online is not only time effective but also allows the policyholder to purchase the policy at their convenience from anywhere at any time. They can also access their policy details online after purchase 24x7 as per their needs.

Note: It is suggested to calculate the applicable term plan cover and premium on the term insurance calculator online tool by Policybazaar before buying the plan.

What is Offline Term Insurance Plan?

Offline term insurance plans are purchased by visiting the life insurance company office or through local agents. With these plans, the policyholder is in contact with the agent to help them through the buying process and resolve any policy-related query they may have. Since the facility of buying term plans online was launched recently, many individuals still prefer buying plans the traditional way through agents.

What are the Benefits of Offline Term Plans?

Here are the benefits of buying term insurance plans offline in India:

• In-person Support: The in-person support from agents and insurance advisors can help customers understand the features, details, and benefits of the plan individually on a one-on-one basis.

• Easy Customer Support: By buying term plans offline via agents, individuals can easily contact their agents to resolve any issues they may have. This way, they won’t have to worry about raising tickets online to get their queries resolved.

• Hassle-free Purchase: Individuals who are not tech-savvy can buy term plan the traditional way without worrying about learning the works of online term plans for easy access. 

Why Should You Buy Term Plans Online From Policybazaar?

You should buy term plans online from Policybazaar because of the following reasons:

• Get free dedicated claim assistance for your family

• Insurance Advisors available in your city

• Get refund at the click of a button

• 100% of the calls are recorded to avoid mis-selling

• Get online discounts up to 15% on the premiums

Note: Know what is term insurance first and then buy a term plan for your loved ones.

Factors to Consider When Buying Term Insurance Online vs Offline

Whether you buy online vs offline term insurance, you should consider certain key factors to ensure that the policy meets your financial goals and protects your family effectively. Here are the most important points to consider:

1. Coverage Amount

   Choose a sum assured that can sufficiently cover your family’s monthly expenses, existing loans, and future financial needs such as education or retirement planning. A higher coverage amount ensures that your loved ones are not left financially vulnerable in your absence.

2. Policy Term

   Select a policy term that covers you until your retirement age or until your dependents become financially independent. This ensures that your family is protected during the years when they rely on your income the most.

3. Claim Settlement Ratio

   Always check the claim settlement ratio of the insurer. It reflects how many claims the company has paid out compared to the claims received. A higher ratio indicates a more trustworthy and reliable insurer who is more likely to settle your claim when needed.

4. Premium Amount

   While comparing term plans, make sure the premium fits your monthly or annual budget. However, do not compromise on the coverage amount just to save on premiums. Term insurance is already one of the most affordable type of life insurance available.

5. Additional Benefits

   Many term plans offer optional term insurance riders such as critical illness cover, accidental death benefit, or waiver of premium in case of disability. These add-ons can enhance your policy and provide extra protection against unexpected events.

6. Easy Claim Process

   A simple and fast term insurance claim process is crucial for your family’s peace of mind. Check if the insurer has a hassle-free claim process, preferably with digital documentation, dedicated support, and clear timelines.

Wrapping it Up!

Whether you choose to buy term plans online or offline depends on your personal preference. Therefore to help you make the right choice, you can learn about the benefits and differences of buying term plans through both the different modes. However, irrespective of the mode of the plan, it is highly advisable that you declare all the information about your personal and family health history, even if it costs you a little less premium.

Note: Check all the best term insurance plan in India.

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