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Term Insurance 2386 views November 20, 2019
The DHFL Pramerica Life Insurance Company has been selling some of the best term insurance plans in India for over a decade. The insurer has some very handy and useful plans on offer. In this article, we discuss the features and benefits of the term plans from this insurance company. Read on to know more.
Table of Contents
Benefits of Buying the DHFL Pramerica Term Insurance Plan
Here are some benefits you get when you purchase the best term insurance plans in India from this insurer:
Financial Coverage for Your Family
The main reason for getting the best term insurance policy in India is securing the financial wellbeing of the policyholder’s loved ones. When a person is a single earner in a family, his family members completely depend on him/her for their livelihood. From paying the rent to electricity bills to keeping up with their lifestyle requirements, an individual works hard and earns to ensure everything goes smoothly. But if he dies suddenly, a great void is created and the other family members are literally left without any money. To prevent such a thing from happening, term insurance is bought. The term plan from DHFL Pramerica Life offers a sum assured with which the family can handle all its financial requirements after the death of the policyholder.
Loan coverage
If the policyholder has a few loans such as a student loan or a home loan, he should look to get a good DHFL Pramerica term plan. If he dies without repaying the loan, his family will be burdened with the responsibility to clear the amount. This can be very taxing. To avoid this, a term insurance coverage equal to the loan amount should be taken to cover the debt.
Added Benefits with Riders
One of the main benefits you get with the DHFL Pramerica Life term plan is the option to add some great riders. Riders are add-on covers that you get at an added-cost. They help to enhance the scope of the term insurance policy. Here are two of the handiest term insurance riders from DHFL Pramerica Life Insurance:
DHFL Pramerica Traditional Accidental Death Benefit Rider
Offers an additional sum assured if the policyholder dies due to an accident.
DHFL Pramerica Traditional Critical Illness Rider
Offers compensation if the policyholder is diagnosed with any one of the listed critical illnesses such as stroke or paralysis.
Tax benefits
The premium you pay towards your DHFL Pramerica term insurance cover is tax-free. You get a tax deductions for a maximum of INR 1.5 lakh in a year. This adds to your savings and vindicates your decision of getting a term insurance plan for yourself.
Easy Buying Options
The availability of term insurance plans online has made it very easy for people to cover their lives. These plans can be bought instantly while sitting at home. You need not visit the insurance provider’s office. Also, the plan is directly bought from the insurer, so it is a safe and inexpensive purchase. There is no brokerage fee involved. The processing fee is also lower. These are the reasons why the online term plans from DHFL Pramerica are popular and useful.
Multiple payout Options
As a policyholder, you get numerous facilities from the insurance provider. You even get to choose how your family will receive the sum assured after you die. You can choose between the lump sum benefit and the staggering benefit. In the former, the entire death benefit is paid in one go. In the latter, it is broken up into parts and paid over a stipulated period of time. Choose the option that would help your family.
These are some of the very best benefits you get when you opt for a term life insurance policy from DHFL Pramerica Life.
DHFL Pramerica Term Insurance Plans
It is very easy to buy a DHFL Pramerica term plan. You can get the online term insurance plans with a click of few buttons. The company has a very good website and mobile app through which you can purchase with ease. As there are multiple DHFL Pramerica term plans, you should compare them and see which plan suits you the best. Here are some of the term insurance plans offered by DHFL Pramerica Insurance Company:
- DHFL Pramerica TruShield Term Plan
- DHFL Pramerica U-Protect Term Plan
DHFL Pramerica TruShield Term Plan
It is a non-linked participating term insurance plan that comes with a return of premium offer. The plan helps ensure the sum assured to your dependents in case you die during the policy term. In case you survive till the end of the policy term, you will get back all the premiums that you would have paid to the insurer. The premium return amount excludes extra premium and taxes, if any. As far as premium payment goes, you can choose from limited pay, regular pay and single pay. Tax benefits apply to the premium paid and maturity benefits as per the prevailing tax laws.
Policy Term, Premium Payment Term & Other Details of TruShield Term Plan
The policy is available to individuals aged as young as 18 years. Whereas the maximum age at entry is based upon the policy term chosen by the policyholder. Let’s check the table below for a better understanding.
| Policy Term (In Years) | Maximum Age Allowed at Entry (In Years) |
|---|---|
| 7 | 50 |
| 10 | 55 |
| 12 | 50 |
| 15 | 50 |
| 20 | 45 |
Premium Payment Term of TruShield Term Plan
As told above, the plan comes with single pay, limited pay and regular pay options. Single pay is defined by the name itself – you need to pay the premium only once during the policy term. Whereas one needs to pay throughout the policy term with the ‘Regular Pay’ feature. Limited pay means the premium payment term will be less than the policy term. However, the cover will continue till the expiry of the policy term. Let’s check the premium payment term for different policy terms.
| Policy Term (In Years) | Premium Payment Term |
|---|---|
| 7 | Regular Pay |
| 10 | Single Pay, 5 Pay or Regular Pay |
| 12 | Regular Pay |
| 15 | Single Pay, 7 Pay or 12 Pay |
| 20 | Single Pay or 10 Pay |
You can pay the premium at any of the monthly and annual intervals. The minimum annual premium depends on the chosen premium payment term and cover. Let’s check below to find the same.
| Premium Payment Term | Level Cover (In INR) | Decreasing Cover (In INR) |
|---|---|---|
| Regular Pay | 14,425 | 12,705 |
| Single Pay | 29,570 | 26,915 |
| Limited Pay | 6,460 | 6,010 |
While the minimum sum assured for the plan is INR 5,00,000, the maximum remains INR 50 lakh, subject to board-approved underwriting norms.
DHFL Pramerica U-Protect Term Plan
It’s a pure protection plan where the nominees receive death benefits when the life assured dies during the policy term. There are no maturity benefits payable here. The plan comes with attractive premium rates for both males and females. Tax benefits also apply to this plan.
Both these term insurance plans are very good and offer extensive covers. You can get a very good life cover at some of the best prices when you choose a term insurance policy from DHFL Pramerica Life.
Policy Term, Premium Payment Term of U-Protect Term Plan
The minimum and maximum age at entry is 18 and 55 years, respectively. While the policy term ranges from 10-30 years, you can’t be allowed to be more than 65 years by the time the policy matures. Based on these, you will get the policy term. You will need to pay the premium throughout the policy term at any of the half-yearly or annual intervals. The minimum annual premium stands at INR 4,000. While the minimum sum assured stands at INR 25,00,000, there’s no maximum limit set by the insurer for this plan. The maximum will depend on the board-approved underwriting norms.
FAQs
Getting term insurance online is very simple. You just need to fill in the application form and submit it with ID proof, address proof and income proof.
Can I buy a joint DHFL Pramerica Life plan?
Yes, you can jointly buy term insurance with your spouse.
Does a single person need term insurance?
Term insurance is more suited for married people who have a family to care for. However, a single person who is looking to get married soon may benefit from a term insurance cover. As a single person, he will get the plan at a lower rate. He can plan it properly and buy the term cover for a longer duration and stay covered in the years to come when he has a family of his own.
In conclusion
Term plans from DHFL Pramerica Life is very useful. Since they are affordable, many people buy term insurance from this company. You get a wholesome life cover and also get the option of adding riders if you wish to. The company has a term insurance claim settlement ratio of over 96% in FY 2018-19, making it a very reliable insurer to be associated with. So go online, explore the options and buy a good term insurance cover from the DHFL Pramerica Life Insurance Company.