How to buy best insurance plan & cover

How to buy the best insurance plan & choose the best insurance cover too!

When buying a life insurance policy,the two most important questions that cross one’s mind are;which insurance product should I purchase (Term, Savings, ULIP)and secondly what is the best insurance cover for me (50 Lac, 1 Crore etc.)?

To add to a layman’s confusion, the insurance industry is filled with a plethora of term plan options which makes the choice of choosing the best life insurance plan even more difficult. Besides, the plan and life cover amount you choose should be tailored to your needs, goals & life objectives.

First, to help you zero in on the right type of insurance plan, let us first understand what the different types of life insurance policies available are online and how you go about selecting the ones that suit you the best.

Outlining everything about the best Term Life Insurance you need to buy:-

Term Life Insurance Plan

This type of plan can protect your family in case you are not around to take care of their financial needs. A term insurance plan is for a fixed term (duration) and offers you the best insurance coverage in the form of bigger payouts while paying smaller premiums.

If you are the breadwinner for your family, it is best for you to purchase a term insurance plan since your family depends on you to provide the required financial stability. So, if you purchase a term plan of Rs. 1 Crore till age 70 years, and if your demise happens within this period, your family will receive this amount. So, in a way this inflation-proof term life insurance plan replaces the loss of income for your family in case you are not around. And if all goes well and you are fit and healthy till the end of the term, you would not receive any maturity payout.

To choose the best term insurance plan, click here

Unit Linked Insurance Plans or ULIPs

Another type of plan that can suit you best is the ULIP.You can choose this if you want a mix of both, good investment returns as well as life insurance cover. However, it is important to note that since this plan gives good returns, it will invest your money in stock markets which has an element of risk involved. The premiums that you pay for a ULIP plan are invested among diverse capital market funds which you can choose yourself (if you are investment savvy) or the insurer can handle the allocation of funds for you.Also, in case something happens to you during the policy tenure, your family gets a life cover amount that is the higher of fund value or base sum assured.

To choose the best ULIP plan, click here

Savings Insurance or Guaranteed Returns Insurance Plans

You can also consider this type of insurance plan which comes with the benefits of guaranteed returns as well as insurance cover. You should opt for this plan when you have certain mid-term or long-term goals in mind (marriage, child’s education etc.)

Unlike ULIP, this plan offers returns that are sans the risk of a volatile capital market.Also, since the returns are guaranteed, your inflation worries are kept at bay.However, to get the best out of your investment and get higher guaranteed returns, it is important that you stay invested for a longer period.

To choose the best savings insurance plan, click here

In case, you want to know which is the best term insurance plan that suits you, simply visit our Find your plan calculator

How to choose the best insurance cover?

 Now that you are aware on how to select the best plan, lets straightaway dive into what life cover amount is best for you. Should you go for Rs.1 Crore, 50 Lacs or any other amount that suits you best? For this, visit our insurance need calculator which will tell you how much life cover you need.

All you need to do is simply enter your details (don’t worry, we won’t ask for your mobile & email id)and get the exact life cover specific to your need. Try it to believe it.