Set Premium Payment Tenure for Your Term Plan in These 3 Ways
Over the past few years, term insurance has gained popularity for providing significant coverage under affordable premium rates. Under term insurance, your beneficiary receives the sum assured, in the event of your uncertain demise during the policy term. It is financial security to your loved ones that help them maintain a lifestyle and achieve goals such as pursuing higher education.
Some reputed insurance companies also offer coverage for a partial or permanent disability that disrupts your monthly income. You can also add additional cover for critical illnesses to get enhanced protection. However, benefits of your policy are limited to the tenure chosen at the time of purchasing the term plan. Therefore, you should try different options of policy tenure to buy your best fit. While you are at it, you must also use the term insurance premium calculator to know your coverage amount.
Once you have decided sum assured calculated with the help of term life insurance calculator, you must choose the best premium payment tenure for reaping policy benefits.
- Regular Premium Payment
Regular premium payment is the most common option chosen at the time of purchasing the policy. While trying out the different combination on term insurance premium calculator, you can also select regular premium payment tenure to know your cover details. It is advised to most people due to the affordability factor.
Also, you can choose between monthly, quarterly, half-yearly or annual payment methods as per your suitability. This option is especially suitable for people who are salaried and fall under the middle-income group. You can see on term insurance premium calculator that regular premium payment is an easier model to get extended benefits as compared to other methods.
2. Limited Premium Payment
Limited premium payment mode is suitable for people who can pay higher amounts of premium. Your monthly, quarterly, half-yearly or annual limited premium payment can be seen using a term insurance premium calculator.
If you can afford the amount, you should opt it as you only have to pay a premium for a limited time and enjoy benefits for a longer duration. It is also the best mode of premium payment, especially for people who are nearing their retirement.
3. Single-Premium Payment
Single premium payment usually appears less expensive as compared to other plans as you only have to pay once. However, it may not be the case as always. While calculating premiums online through a term insurance premium calculator, you will notice that it is the most expensive policy premium.
Also, the premium amount and coverage are available only for a limited period. Selecting a single payment mode on term insurance premium calculator can easily show you the details. You should only choose this mode if you can idle cash available for which you want to save tax.
Term life insurance calculator is the best way to know your policy coverage and premium payment tenure, which can help you select the best possible option.
Here what you can know from a term life insurance calculator:
- Sum assured or a lumpsum amount
- Term insurance premium tenure
- Policy term
- Add on covers to enhance protection
Choose the Best Plan Using Term Insurance Premium Calculator
It is essential to know your policy details beforehand or while buying to get benefits. Therefore, using the term insurance premium calculator becomes necessary. Not only it gives you details of your policy, but term insurance premium calculator also lets you try out different combinations of the policy term, premium tenure, and coverage amount. You can choose the best depending upon these parameters.
Term insurance policies provide comprehensive coverage at nominal premium rates. You can also use their online term insurance premium calculator to know policy term and benefits. Since they have one of the highest CSR ratios, it is easier to make term insurance claims as per your policy. Their hassle-free processes and responsive customer support will help you throughout from purchasing policy to making claims.