Don’t leave your future to chance: Term insurance for women

Term insurance is often viewed as a safeguard for men, obscuring the importance of this financial tool for women. The reality is that women encounter the same economic risks as men, while also dealing with a unique set of financial challenges. A term plan is an essential component of a well-rounded financial plan for women - that ensures the protection of their loved ones against unforeseen circumstances.

First things first. Let’s understand the basics of term insurance. Essentially, a term insurance plan is a basic life insurance policy that offers comprehensive financial protection to your loved ones in the event of your death during the policy term. With a pure term insurance plan, you can receive substantial coverage for a minimal premium, such as Rs. 500 per month for a 1 crore life cover. The policyholder's nominee(s) will be entitled to the primary benefit of the plan, which is the sum assured or life cover, if the policyholder passes away during the policy term. The policyholder has the flexibility to choose the coverage amount and policy duration based on their individual needs and requirements under a term life insurance plan.

Now let’s get into why it’s so critical for women to have a term plan.

Longer life expectancies

According to data from the World Health Organization, women tend to live longer than men. While it is a piece of good news, it also implies that women need to save more money for their retirement years. And with options like zero-cost term insurance, women can get a lump-sum amount as a payout for their retirement. But what is zero-cost term insurance? A zero-cost term plan comes at the cost of a regular term plan and provides the flexibility of exiting the plan early (if you wish to) and getting the premium paid back. Can it get any better?

Caregiving roles

A caregiver’s role is essential but often undervalued and overlooked, particularly when it comes to the financial impact they can have on families. By providing financial support to families, term insurance ensures that loved ones can maintain their quality of life even in the absence of the primary caregiver. The lump-sum amount can be used to cover various expenses, including childcare costs, medical bills, and other expenses associated with caregiving. This can alleviate the stress and burden that comes with caregiving, providing peace of mind and a sense of security for both the caregiver and their loved ones.

The rise of women as primary breadwinners

Over the last few decades, there has been a significant shift in the role of women in the workforce. Women have been breaking through the glass ceiling, taking on high-earning positions, and becoming the primary breadwinners in their households. As women take on these roles, the need for term insurance becomes even more critical to protect their families’ financial futures in the event of an untimely death. With term insurance, women can ensure that their loved ones are protected and have the financial resources they need to maintain their quality of life.

Despite the benefits of term insurance, many women are still hesitant to purchase it. Some may believe that they do not need it, while others may not fully understand how it works. Women must educate themselves on the importance of term insurance and how it can benefit them and their families. Additionally, term insurance policies are customizable, allowing women to choose the coverage amount and policy term that works best for their unique needs and circumstances. Here are some term plan options with a cover of 1 crore that women can consider.