What is Non-Linked Non-Participating Term Insurance

A term insurance plan is the best way to get comprehensive insurance coverage at low premium rates. This plan provides financial security to your family members. So, there are different types of term insurance plans available in the insurance market that take care of the liabilities and needs of your family when you are not around. While searching about a term plan, you may come across terms like non-linked and non-participating. Have you ever thought about what are they? Let us learn about these terms here. 

Read more
Get ₹1 Cr. Life Cover at just
Term Insurance plans
Online discount
upto 10%#
Claim Support
Policybazaar is
Certified platinum Partner for
Claim Settled

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

Get ₹1 Cr. Life Cover at just
View plans
Please wait. We Are Processing..
Get Updates on WhatsApp
By clicking on "View plans" you agree to our Privacy Policy and Terms of use
We are rated
58.9 million
Registered Consumers
26.4 million

What is a Non-Participating Insurance Plan?

A Non-Participating Life Insurance plan also called non-par products insurance is a plan in which as a policyholder you do not receive any additional benefits or bonuses as dividends stated by the insurance company at different time intervals. Simply put, the policyholder has no participation in the life insurer’s profits and doesn’t pay out any guaranteed benefits at the time of maturity.

In this, you are required to pay a premium amount and you get a predefined fixed insurance cover. The beneficiary/ nominee gets the amount of sum assured in an event of an unforeseen death of the policyholder.

What is a Non-Linked Term Insurance Plan?

As the name signifies, Non-Linked Plans are not linked to the market. The performance of these plans does not depend on the performance of any principal assets. In this, you pay a fixed amount of premium depending on the sum assured amount. Regardless of the market performance, your beneficiary/nominee receives the sum assured amount in case of your unforeseen death during the policy term.

Features of Non-Linked Non-Participating Term Insurance Plan

  1. Not dependent on Market Instability

    Non-linked plans such as term insurance plans do not depend on the secondary market performance. It is a pure life cover that is guaranteed, regardless of the financial market performance of the life insurer. This large cover helps your family remain financially stable in case of your absence and ensures that their goals are met.

  2. Returns Are Guaranteed and the Risk is low

    Non-linked and non-participating plans do not receive any share of profits or dividends earned by the insurer. They provide guaranteed returns at low risk.

Wrapping It Up!

Non-linked insurance plan and Non-participating plans have their advantages and limitations. Check your needs and choose the plan that suits your requirements in the right way possible.

Different types of Plans

Term insurance articles

Recent Articles
Popular Articles
Tata AIA Term Insurance Login

26 Dec 2022

Tata AIA term insurance login portal offers the company’s
Read more
Why NRIs in UAE Should Buy Term Insurance Plans from India?

08 Dec 2022

Term life insurance plan secures the financial future of your
Read more
Best Term Life Insurance Plans in Singapore

07 Dec 2022

An NRI living in Singapore can easily buy the best term life
Read more
Bima Sugam

29 Nov 2022

Bima Sugam is an online marketplace that will offer its services
Read more
LIC Relaunched A Term Assurance Plan: LIC New Jeevan Amar

25 Nov 2022

Life Insurance Corporation (LIC) of India recently relaunched
Read more
LIC Term Insurance 1 Crore
LIC of India offers various plans to help you secure the financial future of your loved ones. In order to make
Read more
What Medical Tests are Required for Term Insurance?
Term insurance offers a sum assured to the beneficiary of the policyholder upon their death that can help them
Read more
Term Insurance: Tax Benefits under Section 80D
Term Insurance provides financial security and protection to your family in case of your unexpected death within
Read more
2 Crore Term Insurance Plan
The pandemic has surely generated a global panic and emphasised the importance of financial planning that would
Read more
Types of Deaths Covered and Not Covered by Term Insurance
A term insurance plan is the best way to ensure the financial well-being of your family members in case of any
Read more

View Plans
Download the Policybazaar app
to manage all your insurance needs.