Term life insurance policy is a kind of policy that offers coverage for a limited term (as per the scheme) for a specific rate of payments. These insurance policies are suitable for young families who already have a lot of expenses and cannot afford a permanent life insurance plan.
Here are some of the reasons why a term life insuranceis a good deal for the young families:
- Cheaper Premium
Term insurance plansare cheaper than permanent plans and offer a lot for the small premium paid. For a young family, that already has a lot of expenses; a term policy will offer a great relief by not squeezing a major chunk of money from their income.
- More Coverage
Term life insurancepolicies fetch coverage for more years at the same premium amount as compared to the permanent plans. This is a great money saving tip especially for the young families who are already on a tight budget.
This plan is the solution for families that are looking for the maximum coverage combined with affordable premium.
- Gets You What You Need the Most with Limited Resources
New families should opt for term insurance plansnot just because they have higher expenses but also because they have young children who are completely dependent on them. The phase when the children are small is when you need life insurance the most because in case something happens to you, they are going to need financial support.
Another factor that stands in favor of term life insurance policies for younger families is that most of the parents are just in the initial phases of earning. With expenses from taking care of the youngest members of the family, the savings are bound to be low.
In such cases, where there is a majority of the family dependent on you and you have a limited income, a term policy will serve both the purposes. First to provide coverage for a good term and second the premiums come cheap and affordable.
Term insurance plans are beneficial as they offer maximum coverage for the family without causing a dent in the pocket. They are reliable and are available at various rates. It is better to hunt for the right term life insurancebefore starting a family so that you can choose the best one by the time you start your family. It is advised that you do a thorough search and read about each and every condition applicable to an online term plan before sealing the deal.
Read more about term insurance plan by HDFC Life.
About HDFC Life:
HDFC Life, one of India’s leading private life insurance companies promoted by HDFC Ltd. & Standard Life Ltd., offers a range of individual and group insurance solutions
