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List of 20 Best Term Insurance Plans in India

Term insurance is one of the most popular types of insurance schemes in the market. You must know the term insurance once in a while. The best term insurance in India is a security plan for your family. This pays a specific sum to take care of your family’s financial requirements in case of your unfortunate death.

Best term insurance in India gives financial coverage to the policyholder for a specific ‘term’ or a time period. A term life insurance policy can give a substantial cover. In a situation of the death of the insured individual as the top term insurance plan in India, the death benefit is given by the insurer to the nominee. However, if the tenure of the policy comes to an end within the policyholder’s lifetime, then the latter does not get any money back. Now there is a list of best term insurance plans in India available.

Best Term Insurance Plans in India in 2021

Following is the list of best term insurance companies in India:

Term Insurance Company

Claim Settlement Ratio (2019-20)

1. HDFC Life Insurance

99.07%

2. Max Life Insurance

99.22%

3. Tata AIA Life Insurance

99.06%

4. Exide Life Insurance

98.15%

5. Reliance Life Insurance

98.12%

6. Canara HSBC Life Insurance

98.12%

7. Bajaj Allianz Life Insurance

98.02%

8. Aegon Life Insurance

98.01%

9. ICICI Prudential Life Insurance

97.84%

10. Aditya Birla Sun Life Insurance

97.54%

11. Aviva India Life Insurance

97.53%

12. Bharti Axa Life Insurance

97.35%

13. PNB MetLife Insurance

97.18%

14. Star Union Dai-ichi Pure Term Assurance Plan

96.96%

15. Life Insurance Corporation India (LIC)

96.69%

16. Indiafirst Life Insurance

96.65%

17. Kotak Life Insurance

96.38%

18. Future Generali Life Insurance

95.28%

19. SBI Life Insurance

94.52%

20. Sahara India Life Insurance

89.45%

 

Let’s discuss these insurance companies one by one below in brief.

1. HDFC Life Group Term Insurance Plan

The HDFC Life Group’s best term insurance plans in India serve as an ideal way for employers to strengthen their bond with their employees by giving life insurance. The life insurance coverage necessities of your employees can be met in the form of ‘Employee Benefit’, or ‘Cover for vehicle or housing loans given by you to your employees’. The sum guaranteed will be payable on the death of the insured. And it is also the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • If you are a female or non-smoker, you can take the benefits of this plan at a low premium.
  • This best term insurance in India allows the utmost flexibility to choose premium payouts, the policy period, etc.


2. Max Life Insurance

Max life is the best term insurance in India and is identified for giving customized policy terms from 10 years to 35 years based on customer requirements. You can also append rider plans over your top term insurance plans in India policy for better life assurance. It is one of the best term insurance plans in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • You can intensify the cover by choosing optional riders such as accident cover, and accelerated critical illness cover by paying an additional premium.
  • The plan allows best term insurance plans in India with multiple premium payment options that consist of limited pay, regular pay, and pay till 60.


3. Tata AIA Life Insurance

Tata AIA Life Insurance is the best term insurance in India which allows whole life coverage of 100 years and several death benefit options to choose from. The insurer gives a discount of up to 25% for a higher sum insured. And it is also the best term insurance plan in 2021.

 

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • This best term insurance in India commences with an inbuilt payout accelerator benefit that provides 50% of Basic Sum Assured (in advance) if the policyholder is diagnosed with a terminal ailment.
  • One can avail various discounts if he/she chooses the higher sum assured.


4. Exide Life Insurance

Best term insurance plans in India by Exide Life have their own important advantages. Exide Life Insurance is one of the best financial supports in ensuring the future of a policyholder’s family, term best term insurance in India is what you need in case of an unfortunate event.  And it is also known as the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • Exotic Range of Products
  • Incredible Claim Settlement Ratio


5. Reliance Life Insurance

Reliance Life Insurance Plan is the best term insurance plan in India. And it is a pure term plan, non-linked and non-participating in nature. It is also referred to as the best term insurance plan in 2021. The plan gives large coverage at affordable rates thus allowing the customer to avail a high protection cover for securing his family.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • It is the best term insurance plan in India with the least rates of premium
  • The benefit of availing 5 riders to customize the cover


6. Canara HSBC Life Insurance

Canara HSBC Life Insurance term plan is the best term insurance plan in India with full protection plan which is specially designed to give financial security to the family of the insured and take care of the future financial requirements of the family in the absence of the breadwinner of the family. The plan proposes multiple options like covering spouses in the same policy, whole life coverage, multiple premium payment options, etc. So this is the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • This best term insurance in India gives various coverage options, benefit payouts to choose from.
  • The policyholder can give the premium of the policy either by a single premium payment option or a limited premium payment option.


7. Bajaj Allianz Life Insurance

Bajaj Allianz Life Insurance is also the best term insurance plan in India. It is non-linked, pure Best term insurance in India that comes with encompassing life protection. To look after the specific requirements of every individual, the plan comes with four variants and allows them to customize the plan as per their requirements. And it is also the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • Along with the protection cover, this best term insurance plan in India gives coverage against 55 minor and major critical ailments.
  • The plan gives additional coverage for the child’s educational expenses in case of death of the life assured.


8. Aegon Life Insurance

Aegon Life Insurance plan helps the nominee after the death of the insurer in many ways. So this is the best term insurance plan for 2021. They give life cover to the family of the deceased and also offer monthly payouts that act as income benefits and make this plan as the best term insurance plan in India. 

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • This best term insurance in India ensures regular monthly payouts in case of the death benefit.
  • The benefit of inbuilt accidental death.


9. ICICI Prudential Life Insurance

ICICI Prudential Life Insurance Company Ltd began its operations in the year 2001. It is a shared venture between one of the largest private sector banks in India and Prudential Corporation Holdings Limited. And it provides the best term insurance plans in India. So it’s the best term insurance plan for 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • The plans give full life cover with low-cost online Best term insurance in India.
  • This best term insurance plan in India helps you to meet your dual needs of life cover & investment.


10. Aditya Birla Sun Life Insurance

Aditya Birla Sun Life Insurance is the best term insurance plan in India and it ensures to fulfill the financial needs of all its customers. To give maximum benefit to the policyholder and his family, the plan arises with an inbuilt terminal ailment benefit. Also, it comes with five rider options, allowing the policyholders to improve their protection.  It is the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • The best term insurance plans in India allow joint life protection, where you and your spouse get coverage under the same policy.
  • The plan allows enhanced life stage protection, through which one can avail of additional cover during key stages of life like marriage, childbirth, etc.


11. Aviva India Life Insurance

Aviva India Life Insurance is the purest form of life insurance that covers only the risk of death during the policy tenure. The plan, normally, does not have any maturity benefit. Best term insurance plans in India are, therefore, priced very low providing you to avail of large coverage. The great coverage then offers financial security to the family in your absence. So this plan is the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • This is a best term insurance plan in India that has a critical ailment and disability rider which gives comprehensive coverage against critical illnesses and disabilities
  • The sum assured can be raised at important milestones of your life


12. Bharti Axa Life Insurance

Bharti AXA life in India is amongst the leading best term insurance plans in India and it is also the best term insurance plan in 2021. Bharti AXA Life insurance Company Limited is a founded brand that ensures protection and financial protection to the policyholders.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • Guaranteed Benefits
  • Limited Premium Payment option available


13. PNB MetLife Insurance

PNB MetLife Insurance is a pure protection plan, is an ideal option to protect the financial future of your family. This best term insurance plan in India marks your family’s protection needs at an affordable cost and ensures your family can meet their future dreams after your unfortunate demise. And it can refer to the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • This is the best term insurance plan in India that gives you the versatility to customize your protection.
  • The plan gives lower premium rates for non-smokers.


14. Star Union Dai-ichi Pure Term Assurance Plan

Star Union Daichi Pure Term Assurance is a simple pure term plan from Star Union Dai-ichi Life Insurance where the nominee gets the preferred sum assured on death of the life insured and nothing is payable on maturity as this is a pure term insurance plan for the security purpose and best term insurance plans in India. And it can refer to the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • This best term insurance plans in India are a pure Term Insurance Policy with Death Benefit only and no maturity benefit.
  • Accidental Death and Total and Permanent Disability rider benefit attainable.


15. Life Insurance Corporation India (LIC)

Life Insurance Corporation India (LIC) is a non-linked, non-participating online pure risk premium plan and best term insurance plan in India that offers the required financial protection to the insured family in case of his/her unfortunate demise. And it can refer as the best term insurance plan in 2021. The plan allows the adaptability to choose from two benefit options that are Level Sum Assured and Increasing Sum Assured.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • You can avail of the best term insurance plans in India through an online application process then no agents will be involved.
  • Non-Resident Indians (NRIs) will be included under the plan even if they are not in the country but should be present in the country for the medical tests.


16. The Indiafirst Life Insurance

The Indiafirst Life Insurance Plan is a limited premium, non-linked, endowment life insurance policy and best term insurance plans in India. This guaranteed benefit plan provides the option to pay for a short period (5-7 years), life insurance coverage for the policy duration, and several pay-out options to choose from. And it can be a best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • Provides Life Cover 
  • Life Stage Planning 
  • Long-term Savings 


17. Kotak Life Insurance

Kotak Mahindra Life gives the flexibility to change a term plan (only Kotak Term Plan) to a policy of any other plan offered by Kotak Life Insurance. It is also the best term insurance plan in India. And it can be the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021:

  • Adaptability to convert term policy to any other policy
  • Sum Secured step up or down option


18. Future Generali Life Insurance

Future Generali Life Insurance is the best term insurance plan in India which provides a plethora of insurance products such as best term insurance in India, ULIPs, etc. which can be customized as per your financial requirements. And it can be known as the best term insurance plan in 2021.

Key Features and Benefits of Best Term Insurance Plan in 2021: 

  • Simplified Claim Procedure
  • Variety of Plans and Offers


19. SBI Life Insurance

SBI Life has come up with various best term insurance in India and products for the benefit of its customers and provides the best term insurance plans in India. And it is also the best term insurance plan in 2021. They are continually reinventing themselves, giving the latest technology and tools to the policyholders to make insurance buying a simpler process.

Key Features and Benefits of Best Term Insurance Plan in 2021: 

  • Financial Protection 
  • Claims Settlement

20. Sahara India Life Insurance

Sahara India Life Insurance is the best term insurance in India and approved by the License in India. And it is the best term insurance plan in 2021. Sahara India Life Insurance Company Ltd. has been approved by IRDA. Sahara Life Insurance proposes individual and Group plans. 

Key Features and Benefits of Best Term Insurance Plan in 2021: 

  • This best term insurance in India is very cheap.
  • Offers versatility by providing options to make the premium payments

 

Benefits of Term Insurance Plans in India

The benefits of top term insurance plans in India can help you and your family in many ways that are mentioned below:

1. Financial Security

Your family will get the sum assured from the insurer in the form of a regular payout or as a lump sum in case of your death. The payout will take care of your family’s requirements. It is one of the benefits of buying any best term insurance plan in 2021.

2. Tax Benefit

Premiums paid towards the best term insurance in India and the money received on death are suitable for tax exemption under Section 80C and Section 10(10D) of the Income Tax Act, 1961. 

3. Rider Choices

You can get multiple rider options for your existing terms insurance plan such as Terminal Illness Cover, Critical Illness Cover, Accidental Death Benefit, Personal Accident Cover, Waiver of Premium, Partial/Permanent Disability Cover, and many more. Riders come at the cost of an extra premium.

4. Moderate Cost of Premium

The best feature about the best term insurance plans in India is that you can get a comprehensive cover at an affordable premium.

5. Whole Life Cover

May top term insurance plans in India come with an option of coverage till the age of 100 years.

Why is Best Term Insurance in India necessary?

The most important reason to buy the best term insurance plans in India is for your family’s future. No one has an idea about what will happen in the future. But one should prepare for it. Best term insurance in India gives peace of mind and your family a stress-free life.

There are five reasons why the best term insurance in India is necessary:

  • It will save your family when you are not around.
  • It will give financial stability and support for your family’s requirements.
  • The payout will support your family and live a comfortable life.
  • A term plan gives high cover at the cost of an affordable premium.

Why Should You Buy the Best Term Insurance in India?

Term insurance is a simple product and is easy to understand. There are reasons to buy term insurance mention below:

  1. Low Premium and Attractively Large Cover

The coverage proffered by the best term insurance in India policy can be substantial and the premium for such a cover would be pretty affordable. Thus such a product should be at the foundation of one’s financial portfolio as it gives great protection.

2. Financial Dependents are Protected

The main purpose of the best term insurance in India is to protect the financial dependents of the policyholder in the case of the latter’s unfortunate death. The death benefit given by a term life insurance policy can be substantial and allow financial dependents to manage livelihood-related expenses as well as achieve their financial goals. Therefore the best term insurance in India policy would offer tremendous peace of mind to the policyholder as the well-being of the financial dependents would be taken care of even in the former’s absence.

3. Ensure Your Assets

In the lack of a primary income earner, financial dependents might be required to sell assets to arrange for funds to manage daily expenses. For example, financial dependents may either have to sell the house or investment portfolio to provide for funds. This could harm their long-term well-being. Instead, the death benefit given by the best term insurance in India can give substantial funds to maintain daily expenses or for any other purpose. Thus assets that can produce great value over the long term need not be liquidated.

4. Riders

Best term insurance in India policy can be equipped with multiple riders. These riders are very useful and can augment the best term insurance in India policy by giving enhanced protection. Some of these riders add accelerated death benefit rider, critical illness rider, accidental death benefit, waiver of premium rider, etc. Including these riders may bump your premium slightly but the value that you would get out of them could be great.

How can You Purchase the Best Term Insurance in India?

Generally, there are two ways to buy the best term insurance in India plan- Offline and Online. In the offline method, you can directly speak to the agent of the company or visit the provider’s branch office. But, this approach is time-consuming and that’s why most people prefer to go with the online process.

To buy, the steps are as follows 

Through the Official Website of your Insurer:

  • Visit the official website of the insurance company that you have picked.
  • Choose the Best term insurance in India you want to purchase.
  • Enter all your details and check the premium amount.
  • You can compare the available plans on their coverage characteristics and premium rates and then pick the best plan which suits your coverage requirements as well as your pockets
  • Pay the amount online. Your policy will send you through email on your registered e-mail id

Documents Required for Buying Best Term Insurance in India

To buy the best term insurance in India, the following documents would have to be submitted –

  1. Proposal form, filled and signed
  2. Age proof
  3. Identity proof
  4. Address proof
  5. Proof of income
  6. Current colored photographs of the insured and the policyholder.

Conclusion

Best term insurance in India is really sufficient to cover one’s personal life or even family at the very cheapest premium. You can even make these plans cheaper by paying a premium on either a monthly, quarterly, or half-yearly basis. Also, it’s simple to understand as investment links to life insurance policies are many times confusing to customers, and premiums for such policies are also on the quite higher side.

It is a suggestion to all the new policy buyers that they make their choices sensibly based on the performance evaluated through their Claim Settlement Ratios. The information given here is good enough to select the Best term insurance in India.

Best Term Insurance Plans in India- FAQs

Q1. What is Life Insurance?

Ans. Life insurance is a financial contract to give the nominee of the covered individual a sum of money as determined in the contract. This sum of money is called the sum assured in the life insurance contract.

Q2. What are the different types of life insurance plans?

Ans. There are five unique types of life insurance plans:

  • Term Life Insurance: 
  • Endowment Plans: 
  • Money-Back Plans
  • Unit Linked Investment Plans
  • Annuity/Pension Plans:

Q3. Why should I buy term life insurance?

Ans. A term life insurance financially protects your family in case of your unfortunate demise. Irrespective of whether you are the sole earning member of your family or not, it is advisable to buy the best term insurance in India to help take care of your loved ones’ needs.

Q4. Is it possible to have multiple term insurance policies? 

Ans. Yes, an individual may have multiple term insurance policies to secure the financial safety of the family in case of any unexpected event.

Q5. How important is the best term insurance in India? 

Ans. Best term insurance in India is important as it provides life cover for the specified period and also safeguards the financial future of the family. In case the policyholder passes away, the nominee will get the death benefit. Compared to any other life insurance product a term plan is manageable, easy to understand and is available at a cost-effective premium.  Best term insurance in India is important for those individuals who are the primary and only earning members of the family.

Marketvein Staffhttps://www.marketvein.com/
Born libra, likes to lead from the front. Digital Marketing & Technology is his strength. He has pursued engineering. Travelling to new places & writing is his idea of fun. In his free time (if he gets some that is), he is seen donning the chef's hat at home.

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