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Term Insurance

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Low cost Insurance Plan providing life cover/financial stability to the family in case of death during term of the policy. Suits for all those who wish to avail cover at all levels at a cheaper premium rates.

  • Plan Type:
    • Two types -
    • With Return of Premium - On death Sum Assured is payable. On surviving the Term, all premiums paid are refunded.
    • Without Return of Premium - On death Sum Assured is payable.
  • Riders available:
    • Double Accident Benefit (Additional Sum Assured is payable on death due to accident)
    • Total Permanent Disability Benefit ( Sum Assured is payable in case of TPD due to accident )
    • Critical illness Benefit (coverage for list of selective critical illnesses)
  • Special Features:
    • Flexibility in Insurance cover like i) Uniform cover, ii) Increasing cover, iii) Decreasing cover is available to suit Loan protection/Family Income protection needs.
    • No Lapse Policy feature - If 3 years premiums are paid and in the event of non-continuation of premium, the policy will not lapse but would continue for a reduced cover.
  • Companies recommended:
    • Kotak Life, Aviva India, LIC of India & SBI Life for their-
    • Competitive cost, Services, Simplified process etc.
  • Procedure:
    • To get Quote from Company with Benefit Illustration
    • Filling up of Proposal form with all requirements
    • Payment by Cheque
  • Income Tax Benefits
    • Under Section 80C/80CCC – Life Insurance

    • Benefit is available to Individual assessee and Hindu Undivided Family assessee. In case of individual assessee - Himself/herself, spouse, children of such individual In case of HUF assessee - any member of HUF
    • If the amount of premium paid in a financial year for a policy is in excess of 20% of the actual capital sum assured, then deduction will be allowed only for premiums upto 20% of the sum assured.
    • For insurance policies issued on or after April 01 2012, deduction is allowed for only so much of the premium payable as does not exceed 10% of the actual capital sum assured.(15% of actual capital sum assured in case of person with severe disability or specified ailment).
    • Above benefits shall be reversed if the policy is terminated/cease to be in force within 2 years for traditional products and 5 years for ULIP products after the date of commencement of policy. Sec 80CCE - Maximum amount of deduction that an assessee can claim under Sections 80C, 80CCC will be limited to Rs. 1,50,000
  • Pure Term Life Insurance - Check List
    • PURE TERM LIFE INSURANCE - CHECK LIST

      1 ID PROOF PAN / PASSPORT / DRIVING LICENSE / VOTER'S ID / RATION CARD / EMPLOYEE ID CARD
      2 AGE PROOF AADHAR DOB / PAN / PASSPORT / DRIVING LICENSE / GOVERNMENT ID / BIRTH CERT / SCHOOL(OR)COLLEGE RECORD
      3 ADDRESS PROOF AADHAR / PASSPORT / DRIVING LICENSE / BANK STATEMENT LATEST 3'MONTHS / VOTER'S ID / RATION CARD
      4 PHOTO PASSPORT SIZE PHOTO
      5 PAN CARD COPY REQUIRED
      6 Bank Details Cancelled Cheque Leaflet with Name Printed
      7 FULL NAME OF PERSON TO BE INSURED To be filled
      8 COMMUNICATION ADDRESS To be filled
      9 PERMANENT ADDRESS To be filled
      10 MOBILE NUMBER To be filled
      11 E-MAIL i.d To be filled
      12 MARITAL STATUS MARRIED / UNMARRIED / WIDOW
      13 EDUCATION QUALIFICATION To be filled
      14 OCCUPATION To be filled
      15 NAME OF THE BUSINESS/Website To be filled If Applicable
      16 ANNUAL INCOME To be filled
      17 INCOME PROOF Income Tax Returns
      18 HEIGHT  
      19 WEIGHT  
      20 NOMINEE NAME  
      21 NOMINEE DOB  
      22 RELATIONSHIP  
      23 SUBSTANCE CONSUMED TOBACCO / ALCOHOL / ANY NARCOTICS
      24 HEALTH DIAGNOSAD,CANCER, SUGAR (OR) ANY OTHER BELOW ASSURED
      25 PROPOSED SUM ASSURED  
      26 SUM ASSURED ALREADY COVERED AS PER EXISTING POLICIES  

      Note: Usually 10 times of Annual Income is considered as Sum Assured under Pure Term Life Insurance Plan

      If Additional Sum Assured is required the following additional supporting documents are required:

      1 Home-Loan Documents
      2 Bank-statement for last 6 months
      3 Any documents regarding Investments like Mutual Funds, FD..etc.