Out of the many insurance policies available out there, a term insurance policy provides one of the highest insurance coverage at an affordable premium. With a term insurance policy in place, you will not have to worry about your family’s financial stability when you’re not around anymore. The insurance coverage offered by a term insurance plan will help your loved ones to take care of any expenses they may face.
You can look for online life insurance when buying a term plan, as many companies provide different features and tools on their official website. For instance, if you purchase the TATA AIA term insurance plan online, you will get access to their term insurance calculator, which will help you choose the most suitable plan.
However, as you grow up, your responsibilities increase, and so does your cost of living. Other factors like rising costs of necessities and increasing market inflation may affect your sum assured significantly. Therefore, it becomes important to assess your insurance requirements during different stages of life.
How do your life insurance needs change at every stage in life?
A life insurance policy is designed to provide you with coverage for your short-term and long-term goals. Life insurance needs are generally higher for bigger responsibilities when compared to the smaller and short-term goals. However, as time passes, your insurance requirements may change substantially, and the coverage you had chosen on a policy purchased in the past may not be adequate. Some of the stages in life where you may reconsider the insurance coverage of your insurance policy are:
- When you get married.
- When you become a parent.
- When you’re planning for your golden years.
As you enter these stages in your life, your term policy’s coverage may not seem enough for ensuring your family’s security. The number of individuals dependent on you increases, along with your household’s daily expenses. Your purchased policy may not be able to protect the future of your loved ones and their dreams and goals. For such situations, a life stage benefit option for your term insurance plan may be optimal.
What is a life stage benefit option in a term insurance plan?
One of the term plan benefits is that you get access to the life stage benefit option. The life stage benefit option in a term insurance plan is an effective way to ensure decent coverage, as the initial coverage of your term plan may not provide you cover for all the stages in your life. The life stage benefit option includes flexibility in your life insurance plan so that you can manage your rising insurance requirements.
This addition to your term plan allows your insurance coverage to be adjusted based on your life goals by increasing the sum assured at the critical stages of your life. One of the most beneficial aspects of the life stage benefit option is that you do not have to pay a high premium or any extra costs to include it in your term plan.
Why do you need to opt for the life stage benefit?
As mentioned above, your insurance needs may vary at different stages in your life. But, purchasing a new insurance plan for the change in your insurance requirements may not be an optimal solution. Therefore, to protect yourself from the hassle of purchasing new plans at every important stage in your life, you can get the life stage benefit option with your term insurance plan. The coverage from the plan will increase by a certain percentage at critical stages of your life. With this rise, your sum assured will also increase. With the life stage benefit option, you can ensure the security of your family while paying an affordable amount for your premiums.
If you’re a term insurance policyholder, getting a life stage benefit option along with your insurance plan may help you in the long run. With the life stage benefit option, you can adjust your insurance cover as you grow through life without paying any extra amounts or premiums.