Term Insurance Plan FAQs

If you outlive your term life insurance policy, there will be no payout. However, there is a possibility of premiums being returned in case of a plan with return of premium option^&. Pure term insurance only provides a death benefit.


 

Term insurance premiums increase with age due to the increased risk of claims as you grow older. Insurance providers adjust premiums to reflect the higher likelihood of needing to pay out claims.

Anyone who has dependents or liabilities should consider buying a term insurance policy. It offers affordable coverage that ensures financial security for your family in case of your untimely demise.

Ensure that all information provided during the application is accurate and complete. Disclose all health conditions or lifestyle habits. Pay premiums on time so that the policy does not lapse. For more details about the process, check out our Insurance Claim Process.

Term life insurance generally covers death due to natural causes, accidents, and critical illnesses.

The documents required include the death certificate of the policyholder, claim form, medical records, KYC and bank account details of the nominee, police records (FIR and post-mortem) in case of accidental death.  Additional documentation may be required depending on the scenario.

You may choose your premium payment term as per your convenience. You can pay single premium, limited premium for 5, 10 or 15 years and regular premiums.

The tenure of a term insurance policy can range from 5 years to whole life, depending on your age and the terms of the policy. You can chose tenure based on the period you want to secure coverage for your family.

In the event of the death of the insured, the beneficiary receives the death benefit, provided the policy is active and all premiums are up-to-date.

Yes, you can change the nominee of your term insurance policy anytime. you can do it by submitting a written request to your insurer with the necessary documents. Most insurers now have self-help portals where you can update/ change your nominee details. So check with your insurer and go with the process that you’re comfortable with.

Although, there is a possibility of some amount of premiums being returned in case of a single and limited premium payment term and a plan with return of premium option subject to terms of the policy.  

Yes, a claim can be rejected if there is non-disclosure of material facts and, if false information is provided at the time of policy issuance. 

For term insurance in India, suicide will be covered as per the terms and conditions of the policy.

Yes, you can easily purchase a term insurance plan online through the insurer’s website or aggregator platforms. The process is quick, paperless, and transparent, offering instant quotes, easy comparison, and policy issuance within minutes^#

^{IN ULIP, THE INVESTMENT RISK IN INVESTMENT PORTFOLIO IS BORNE BY THE POLICYHOLDER. THE LINKED INSURANCE PRODUCT DO NOT OFFER ANY LIQUIDITY DURING THE FIRST FIVE YEARS OF THE CONTRACT. THE POLICY HOLDER WILL NOT BE ABLE TO SURRENDER/WITHDRAW THE MONIES INVESTED IN LINKED INSURANCE PRODUCTS COMPLETELY OR PARTIALLY TILL THE END OF THE FIFTH YEAR.}

The main types of life insurance plans include Term Insurance, Whole Life Plans, Endowment Plans, ULIPs, Money-Back Policies, and Child or Retirement Plans. Each offers unique benefits tailored to protection, savings, or investment goals. 

Your monthly term life insurance cost depends on age, coverage, and policy term. Typically, it ranges between ₹500–₹1,500 per ₹1 crore cover for healthy young adults. Buying early ensures lower premiums and better coverage. 

If you cancel your life insurance within the free-look period^~ (usually 30 days), you get a full refund^& minus minimal charges if any. After 30 days, the surrender value (if applicable) depends on policy terms and conditions. 

Yes, If your term policy has  lapsed then no death benefit is payable, as per policy terms and conditions. However, you may revive your lapsed policy within 5 years after paying all due premiums.

A term plan can still be useful in your 50s or 60s if you have financial dependents, outstanding loans, or estate planning goals. Coverage helps ensure liabilities are managed and loved ones remain financially protected.

Term insurance premiums can be paid in different ways based on the plan chosen. The payment options include:

•    Limited Pay – Pay premiums only for a shorter, fixed duration (such as 5, 7, 10, or 15 years) while enjoying full-term coverage.
•    Regular Pay – Pay premiums throughout the entire policy term (e.g., 20, 30, or 40 years), aligned with the coverage duration.
•    Single Pay – Pay a one-time lump-sum premium, after which no further payments are required for the entire policy term.

Buying term insurance online offers convenience and easy comparison. Offline purchase allows personal guidance through advisors. The right choice depends on your comfort with digital tools and need for assistance.