A term plan is life insurance which provides coverage for a fixed term/ period of time. Term insurance plans offer benefits in the event of the death of the person whose life was insured under the plan only if death occurs within plan duration. It is advisable to purchase term insurance plans as early as possible to reap its benefits.
As you grow up, you understand you are not alone, and you realize the responsibilities on your shoulders. There are people you need to take care of – your parents, your spouse, your children, and other dependent family members. The term policy helps you in completing your responsibilities. Once you take term plan insurance, you are fulfilling some of your responsibilities beforehand.
Why Buy A Term Insurance Policy Sooner Rather Than Later
* Lower premium amount:
If you think buying term plan insurance before you turn 25 is too early, you are wrong! When you are young, you have the best combination of being fit and healthy. You have fewer responsibilities and less stress. All these factors lead to making the term life insurance at a cheaper rate and for a longer duration.
Constant premium throughout:
For young policyholders, premiums for term plans are very less, as cheap as Rs. 6,333 p.a. for a 25-year-old nonsmoker and a policy term of 30 years, which can rise to Rs 8,192 p.a. if you wait until you turn 30, you end up paying more premium. And the bonus to start early is the premium will be the same throughout your policy tenure.
Who doesn’t wish to see the entire salary getting credited without any tax deductions? For which, you look out for different options to invest and save on your income tax. The premiums that you pay towards your term life insurance would be eligible for tax benefits under Section 80C. The proceeds that your family receive as a death benefit is again tax-free under Section 10 (10D), under the Income Tax Act.
Do You See Why Buying A Term Insurance Policy Early Helps?
You are a young adult, but still, you will have dear ones who are partially or wholly dependent on you. Death is unavoidable; a term insurance plan can get you peace of mind to secure your family financially. You would realize it today or tomorrow that it is essential for the family’s future. And if it is necessary for the future, then why delay it?
Buy your term insurance online today!