Whether it is buying a new pair of shoes, a stylish dress for a party or doing some grocery purchasing when you buy everything online in a few mouse clicks, why are you not doing the same with your term insurance?
Term insurance is a policy which gives financial coverage to your family after your death. Thus, term insurance is for your family and not for you!
All you need is a good internet connection, and you can easily buy a term insurance policy either from the comfort of your home or while travelling. Apart from the ease, there are various other reasons also to purchase online term insurance. Let’s have a look.
- Low Cost: Most of the online insurance plans are cheaper by 50-60% as compared to their offline counterparts. As there is no agent involved, the insurer makes a saving which is then transferred to the buyer in the form of low premium rates. For instance, a 25- year old would need to pay only Rs 7,095/annum to get Rs 1 crore coverage under ICICI PruiProtect Smart.
- High Sum Assured: Because of lower costs, the average sum assured tends to be high in the online mode. It is not uncommon to come across an advertisement that says you can get Rs 50 50 lakhs term insurance coverage at a price of one mineral water bottle. In fact, if we continue our above example, Rs 1 crore coverage under ICICI PruiProtect Smart is available at Rs 19 per day (approx.)
- Easy Reputation Check: When you decide to buy a term insurance policy online, it becomes easy to scout the web to check experiences of other customers that they have had with regards to the insurer. Also, you can check the annual report of IRDAI to track the claim settlement ratio of different insurers. A high claim settlement ratio means low chances of claim rejection.
- Complete Transparency: Whether you want to buy a simple term insurance plan or a term plan with return of premium, insurance companies have details of every product on their website. You can quickly browse through the website to know all the available plans—its offerings, eligibility criteria, benefits, and many more. An online mode broadens your perspective and offers you complete transparency that you can count upon. On the other hand, an insurance agent rarely gives an in-depth analysis of the product to the buyer.
- Helpful Customer Support: Many prospective insurance buyers assume that there is no customer support available in case of online term insurance. However, the reality is that there is a dedicated customer helpline to take care of your concerns.
On the basis of the above factors, we can conclude that the online mode stands out. However, you need to do a bit of homework before buying the policy online since there is no agent to guide you and the onus is on you to choose the right product.