5 Best Life Insurance Plans in India

If you're ever worried about your financial crisis and the wedding of your children, education of the son/daughter. Still get anxious about what to do to proceed further ? or further get perplexed to get debt from some other and to pay the monthly interest which doesn't get reduced in principle amount, finally go to work until you die for the least salary and the clearance of due amount. For this problem, you've got a good answer now life insurance plans.in this article, we're going to discuss what life insurance and "is life insurance worth it, and also a list of the Best life insurance policy in India.

What is life insurance?

Life insurance is the plan of agreement between the insurer and the insurance agent. You can settle standard premiums in return for an aggregate amount of death benefit that's reimbursed to your recipient (or beneficiaries) when you die.This death benefit can be used for any intention. Often, the funds help include important money requirements that your family might even stammer to afford in your absence, such as funeral costs, mortgage settlements, paying school fees, and other miscellaneous bills. Read Also: Healthy, Wealthy and Wise: Benefits of Health Insurance

Is life insurance worth it?

If someone asks "is life insurance worth it", I would say , yes, definitely, of course, but it is totally based on your requirements. If you take a life insurance plan, your family feels safe and secure even if you're not there. They don't depend on others to settle bills. So, for the safer side, it is better to take a life insurance policy. 

What are the types of life insurance?

Life insurance policies are categorized into 2 types (1) term life insurance and (2) permanent insurance. Depending on the features, you can decide whether life insurance is worth it.

Term life insurance :

Term life insurance, as the name suggests, can include term level time in which premium and death benefit remains constant. Terms usually begin at the age of 5,10,15,20,25 years. For example, say you're in your 30s, wedded, and have young children. Maybe you have some financial debts as well. You might buy term life insurance to ensure your spouse will be financially suffering if you die at the early stage. Once your children reach a certain age and your debts are paid, it might not be as crucial for you to have life insurance coverage.

Permanent life insurance :

Permanent life insurance is exactly what it looks like. These policies generally do not die—if you maintain premium payments. Permanent life insurance policies also typically accumulate cash value on a tax-deferred basis. Cash value money can be withdrawn or borrowed against. (If you die, acquiring or taking money or keeping an unused loan balance will mean a lower death benefit for your nominees.)

1. What is the cost of a life insurance plan?
2. The cost of life insurance starts from 10,000 /month and ends up to the fixed policy of the life insurance.

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What are the different types of life insurance based on the services?

 Every policy buyer must know of different types of life insurance[2]before buying any of them.

• Term insurance: It is a low-priced type of life insurance that offers a high sum assured at affordable premiums. The insurance company gives a sum assured to the policy nominee in case of your untimely demise.
• Child Plans: A child plan is another form of ULIP with which you can form wealth to promote the higher education plans of your child. With a child plan, you also get the plan to spend money into various funds based on your financial condition and long-term goals.
• Endowment Plans: These plans are known as a link between life insurance and savings. You will receive life cover and savings benefits by spending in an endowment plan. You will get the sum amount of benefit outliving your plan's term, along with periodic bonuses (if any).
• Retirement Plans: This type of plan intends to provide wealth for the rest of Life. Your nominee will accept instant payment in case of your demise during the policy term. Otherwise, you will receive the investing benefit on surviving the term.

5 Best life insurance Policy in India

List of life insurance plans in India are mentioned in below:

1. Life Insurance Corporation

It mostly focuses on the customers' needs at every stage in Life. Life insurance plans are even low-cost premium rates with multiple alternatives in death benefits. In addition to this, customers have the option to alter their selective plans according to their requirements. LIC comes at the top 1st of the best life insurance plans in india.Key features :

• Provide Financial Security - When you choose to buy a life insurance policy from LIC, you can assure your family's financial security in your absence. LIC life insurance policy provides financial security to the family of the Life assured in case of the unexpected demise of the Life assured during the policy tenure
• Tax Benefits - One can use tax benefits by investing in a LIC life insurance policy. Premiums paid for LIC life insurance policy verify for tax exemptions under Section 80C and 10(10D) of the Income Tax Act.
• Hassle-free Claim Settlement - As LIC is a state-run insurance company, settling claims on time without any hassles is the one major thing the insurance company focuses on. A person need not get anxious about the claim not being settled on time. This is the most merits of buying a LIC life insurance policy.
• Variety of Life Insurance Plans - LIC offers several features of life insurance plans. You can wish to buy a Whole Life, Term, Money Back, Endowment, or ULIP. You can select a life insurance plan according to your demands and economy.

2. HDFC Life Insurance

• Provides you with broad financial protection for your family        
• Gives you the option to select a plan according to your needs to choose a cover
• Auto balances Death and Critical Illness benefits with the expansion of Life
• Receive income payouts from age 60 onwards under Income Plus Option
• Selection to avail cover for Whole of Life* 
• Acquired to return all premium settled on existence till maturity with the return of premium chance
• Waiver of Premium on the diagnosis of serious diseases (through WOP CI option)
• Additional Sum confirmed on Accidental Death (through ADB opt)

Plans :

1. Life Live Rebalance - A wise cover that aims to achieve a balance between Death and Critical Illness benefit goes to your Life. Critical Illness includes and improves at each policy anniversary with an equivalent reduction in Life Cover. In addition, all future premiums are waived o- on detection of any of the inclusion of Critical Illnesses, and the life cover continues.
2. Life Protect - Under this plan option, the premium is provided on the death of the Life assured.
3. Income Plus - Under this plan option, the Life insured is covered for the completion of the policy term and receives a total sum payout on maturity period along with normal income starting from age 60.

Death Benefit: "Death Benefit" is payable as a total of your beneficiary if you, the Life assured ends during the policy term. It is the highest of -

• Whole Assured on Death 
• 105% of entire Premiums Paid
• Life Cover SA Sum Assured on Death for Single Pay (SP) is higher than 125% of Single Premium 
• Sum Assured on Maturity Sum Assured on Death for other than Single Pay (Limited Pay and Regular Pay) 
• Higher than 10 times the Annualized Premium
•  Sum Assured on Maturity

3. ICICI Prudential Life Insurance

ICICI Pru Protect Return of Premium provides security to you and your loved ones against all such possibilities and securities your future planning while ensuring you get a survival/ benefit period. Its is one of the best life insurnace plans in india.

• Return of Premium: Get life coverage throughout the policy term. Also, get your lump sum back on maturity.

• Income Benefit: Acquire life coverage throughout the policy term and start getting monthly income from the policy anniversary after the Life Assured turns 60.

• Return of Premium with Life-stage Cover: Get life coverage, which changes per your life stage throughout the policy term. Also, get your total back on maturity.

4. Bajaj Allianz Life Insurance 

Key Features :

• Claim Settlement Ratio : Bajaj Allianz Life Insurance Company has a claim settlement ratio of 99.02% for 2021-22. It means we respect our promise to protect your loved ones, and your nominees will not have to worry about their genuine claims being rejected unnecessarily.

• A High Credit Rating: CARE Ratings has issued a CARE rating to Bajaj Allianz Life Insurance Company. This rating shows that the company is firm,

• Quick Claim Approval: 95.49%% of the non-investigative individual claims for FY 2021-22 were approved within one working day.

• Credible History: Bajaj Allianz Life Insurance Company has already insured over 2.87 crore lives2 so far. With such a credible and reliable history,

• A High Solvency Ratio: The Insurance Regulatory and Development Authority of India (IRDAI) mandates a solvency ratio of 150%. As on 31st March 2022, Bajaj Allianz Life Insurance Company recorded a solvency ratio of 581%**, indicating financial strength and an ability to settle genuine claims promptly.

• A Trusted Brand: Over the years, Bajaj Allianz Life Insurance Company has become one of India's most trusted brands.

Term insurance plans :

• Bajaj life insurance smart protect goal : The plans and financial goals demand protection from the ups and downs of Life. A detailed term plan with a competing premium can be a perfect shield against any form of financial stress caused by any life event.

Bajaj allianz isecure:

1. Level life cover
2. High Sum assured rebate
3. Option to take death benefit in installments
4. Joint life cover

Bajaj allianz isecure more:

• Increasing life cover
• Joint life cover
• High Sum assured rebate
• Death Benefit payments in installments

5. Reliance Nippon Life Protection 

Reliance Nippon Life Protection Plus is an affordable life insurance plan that helps you live without worries by providing financial protection to your loved ones in your absence. Considering your specific needs, the plan supports substantial life cover and multiple options to ensure that you have integrated and satisfactory life insurance.Key features :

• Assist economic safeguarding for your loved ones at an affordable cost 
• modified protection cover as per your need 
• gives a chance to enhance your safeguarding cover at key events in your life^ on payment of additional premium 
• Lower premiums for non-tobacco consumers with healthy lifestyles# Tax benefits may be applicable as per prevailing income tax laws.

Plan options :

• Level Cover Plan: Under this condition of the plan, in case of the unexpected death of the Life Assured during the Policy Term, provided the policy is in force, the Sum Assured on Death will be paid as a lump sum to the nominee(s)/beneficiary(s)

• Increasing Cover Plan:Under this plan condition, the Base Sum Assured increases by a simple rate of 5% p.a. at each policy anniversary, subject to a saturated increase of 100% of Base Sum Assured chosen at inception. In case of the Life Assured death during the Policy Term, provided the policy is in force, the Sum Assured on Death will be paid as a lump sum to the nominee(s)/beneficiary(s).

Also read: Benefits of Health Insurance

Conclusion :

A life insurance policy is the main thing you must do for your family. It will help in your absence in many forms. Every life insurance has different options you don't think suit only the upper middle class and high-class people. You can also choose an affordable price according to your needs. We hope now you have a clear image of what the Best life insurance plans in India are.