How much does a Rs 1-cr term insurance plan cost? Check out the premium costs

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November 25, 2020 12:05 PM

If you’re looking for a term insurance plan, here are the premiums for a Rs 1-crore policy offered by all the leading insurers in the country along with their claim settlement ratios.

Going for a plan with the cheapest premium amount isn’t always the best idea as you also need to factor in other critical things.

The Covid-19 pandemic has exposed our vulnerabilities like nothing before. In such a situation, getting a life insurance plan with an adequate sum assured is one of the most important things to secure so that your financial dependents are not left in the lurch in the unfortunate event of your demise.

While the meaning of ‘adequate’ may differ from person to person depending on his/her financial commitments, the rule of thumb is to have a life cover worth at least 10 times your current annual income. You can also go for higher coverage based on your actual requirements.

The premiums of a life insurance plan would increase as you grow older. So, it’s always advisable to start your policy as young as possible. Also, you can choose between an endowment plan, term insurance plan, whole life policy, unit-linked insurance plan (ULIP), child plan, retirement plan, etc. based on your requirements, according to BankBazaar.

That being said, it’s critical to compare your options for the best offers. In doing so, going for a plan with the cheapest premium amount isn’t always the best idea as you also need to factor in other critical things like the insurer’s claim settlement ratio, important add-ons in line with your requirements, etc. before finalising your decision. Do note one of the tertiary benefits of having a life insurance plan is that the premium paid qualifies for tax deduction benefit of up to Rs 1.5 lakh in a year under Section 80C of the Income Tax Act.

So, if you’re looking for a term insurance plan, here are the premiums for a Rs 1-crore policy offered by all the leading insurers in the country along with their claim settlement ratios. Do note, all the annual premiums are calculated for a basic term insurance plan with a 30-year-term for a 30-year-old non-smoker male residing in Bangalore with a Rs 5 lakh yearly income, as per BankBazaar.

Your actual premium amount could vary depending on your age, gender, income, type of policy, chosen sum assured and add-ons, among other terms and conditions of your chosen insurer.

How Much Does A Rs 1-Crore Term Life Insurance Plan Cost?

Disclaimer: Data as on November 24 2020, and pertains to term insurance cover for a 30-year-old, salaried, non-smoker male, residing in Bangalore, earning Rs 5L annually, for a 30-year term. Table excludes companies for which data is not available on their website. *As per IRDA annual report. Data compiled by BankBazaar.com

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