A smart term plan is a customizable term plan that offers the policy owner protection against critical illness, disability, and death and while giving you an option to get all your premiums back. You can customize your policy when you buy term insurance coverage by choosing the desired benefits based on your requirements. You can also take the help of a term insurance premium calculator to get an estimate of the insurance coverage that you would require to protect your loved ones financially and the premium payable. On the other hand, regular term insurance provides death benefit or financial coverage to the nominee in case of an untimely death of the policyholder during the policy term.
Features of a smart term insurance
The following are the key features of an online term insurance plan.
- Multiple Death Benefit Options
Smart term insurance offers seven different variants for death benefit payout. They are as follows.
- Life cover
- Income protector
- Inflation+ income protector
- Life cover+ income
- Life cover+ Increasing income
- Increasing cover
- Reducing cover
- Multiple Payment Options
This provides the policyholder the flexibility in payments. They get access to options like Single Pay, Regular Pay, and Pay till 60 and limited pay options for premium payments.
- Option to Return Your Policy
The free look period is a required period of time in which a new life insurance policy owner can terminate the policy without any penalties. A free look period often lasts 15 or more days. This allows the policyholder to decide whether or not to keep the insurance policy; if he or she is not satisfied and wishes to cancel, the policy purchaser will receive a full refund for the same.
- Long Term Coverage Life
A smart term insurance plan provides long term cover assurance. The term plan that can be availed by the policyholder could be up to 85 years.
- Customer Discount
Many insurance companies provide a special customer loyalty discount for existing policyholders. The discount can be availed if the policy is in a premium paying stage or paid-up stage.
- Coverage for Smokers too
Insurance companies provide coverage for smokers and non-smokers too. The policy owner can avail of lower rates on a term plan.
Benefits of buying a smart term insurance
- Get your premiums back
The return of premium offers a premium refund on the maturity of the policy. In case the insured survives the entire tenure of the policy, then they are eligible to receive the total amount of insurance premium invested towards the plan once the policy term is completed.
- Health component to your term insurance
A smart term insurance policy can provide the insured protection against 40 critical illnesses, including kidney failure, heart attack, and diseases like cancer.
- Pay for a shorter duration
Multiple premium payment options such as limited pay, regular pay and pay till 60 are some of the options that can be availed in a smart term insurance plan.
- Multiple payment options
A smart term insurance plan has a flexible premium payment options. These payment options can be customized as per your budget.