11 Best Online Term Insurance Plans in India 2020
Best Online Term Insurance Plans

11 Best Online Term Insurance Plans in India 2020

I am going to discuss the best online term insurance plans that will provide your dependents financial security if you are no more.

Best Term Life Insurance Plan in India (Regular)

#1. Max Life Term Insurance Plan

Max Life offers one of the best term life insurance plans. It has customized term plans for family-specific needs. You can also select from different payout options – lump sum or a mix of lump sum and monthly income.

The other best part is the flexible policy terms from a minimum of 10 years to a maximum of 35 years.

You can also read Why Max Life is the best term insurance Plan.

Death Claims Paid Ratio – 95.26%

Max Term Life Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
65 years
Max. maturity age 75 years
Min. Sum Assured Rs. 25 Lacs
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 10 years
Max. 35 years
Can choose a term between
10 to 35 years, with an interval of 1 year
Premium payment term Regular at annual,
semi-annual,
quarterly or monthly

Riders

  • Premium Plus rider for critical illness/ dismemberment/ death.
  • Accidental death & Disbursement rider fro accidental death or disability cover.

Pros 

  • Flexible payout options
  • Flexible term period
  • Waiver of premium plus ride

Cons

  • No inbuilt riders

#2. Bharti Axa Flexi Life Term Insurance Plan

Bharti Axa offers two term life insurance plans. Both plans are designed to cater to specific needs.

First, regular death benefit term insurance plan with life cover.

Second is the regular term life plan plus coverage for critical illnesses at an additional cost.

Critical illness rider has 3 varients –

  • Comprehensive cover – 34 illness
  • Major illness cover – 15 illness
  • Heart and Cancer cover – 9 illness

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These plans have flexible payout options – lump sum or a mix of monthly & lump sum and increasing monthly income.

Death Claims Paid Ratio – 96.29%

Bharti Axa Flexi Life Term Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
65 years
Max. maturity age 85 years
Min. Sum Assured Rs. 10 Lacs
Max. Sum Assured Subject to underwriting
For critical illness – Rs. 1 Cr
Policy term Fixed -10, 15, 20, 25 years
To age – 60, 65, 70, 75, 85 years
Premium
payment term
Regular at annual,
semi-annual,
quarterly or monthly

Riders

  • Accidental death benefit rider

Pros

  • Three flexible payout options
  • Critical illness cover

Cons

    • Restriction on modification in critical illness cover

#3. LIC of India Term Insurance Plan

LIC is the largest and most trusted insurer in India. You can get a 8% discount for applying LIC term policy online. Max discount Rs. 3000/year.

LIC has term plan has two categories –

  1. Aggregate lives – Sum assured up to Rs. 49 Lacs
  2. Non-smoker lives – Sum Assured Rs. 50 lacs and above with the option to choose a different premium rate.

Non-smoker rates shall be based on the findings of the Urinary Cotinine test.

Death Claims Paid Ratio – 94.45%

LIC of India Term Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
60 years
Max. Maturity age 75 years
Min. Sum Assured Rs. 25 Lacs for aggregate category
Rs. 50 Lacs for non-smoker category
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 10 years
Max. 35 years
Premium payment term Regular at annual,
semi-annual, quarterly or monthly
For e-Term only annually

Riders

  • LIC of India accidental death benefit rider
  • LIC of India accidental death and disability benefit rider
  • LIC of India New Critical Illness Benefit Rider

Pros

  • The largest network and outreach
  • 8% Discount on premium for online purchase

Cons

  • Slow processing of applications

#4. TATA AIA Life Term Insurance Plan

TATA AIA term plans give two types of life cover –

  1. longer life cover of up to 85 years of age
  2. whole life coverage which is till the age of 100 years.

TATA AIA offers a higher protection discount up to 25% for sum assured of over Rs. 75 Lacs.

You have the flexibility to choose four death benefit options

  • “Sum Assured on Death” –  Lump Sum benefit on Death
  • “Sum Assured on Death” – Lump Sum benefit on Death & Monthly Income for next 10 years
  • “Enhanced Sum Assured on Death” – Lump Sum benefit on Death
  • “Enhanced Sum Assured on Death” – Lump Sum benefit on Death & Monthly Income for the next 10 years.

Drawback – loadings of up to 6% on premiums paid.

Death Claims Paid Ratio – 94%

TATA AIA Life Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
Up to 70 years
Max. Maturity age 85 years
Whole Life cover 100 years
Min. Sum Assured Rs. 50 Lacs
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 10 years
Max. 85 years OR 100 less age at entry years
Premium payment term Regular at annual, semi-annual,
quarterly or monthly

Riders

  • TATA AIA accidental death and dismemberment rider
  • TATA AIA waiver of premium plus rider
  • TATA AIA Term rider

Pros

  • Whole life cover up to 100 years
  • Higher protection discount on Rs. 75 Lacs+ sum assured

Cons

  • 6% loading on monthly premiums paid

#5. SBI Life Term Insurance Plan

SBI Life has a term plan for below the poverty line persons with a max. premium amount of Rs. 2000 and max. sum assured of Rs. 50,000. It also offers 30% discount on premium for a large sum assured.

SBI Life offers two types of plans

#1. Level Cover Benefit

The sum assured remains the same throughout the policy term.

#2. Increasing Cover Benefit

Sum assured automatically increases by a simple rate of 10% at the end of every 5th policy year.

The term policies (for both types) come with built-in accelerated terminal illness benefit where the benefit equal to the death benefit would be paid and the policy gets terminated. Terminal illness is based on conclusive diagnosis resulting in death within 180 days.

SBI allows the surrender of term policy with benefits up to 80% for single premium cases.

Death Claims Paid Ratio – 92.13%

SBI Life Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
Up to 60 years
Max. Maturity age 80 years
Min. Sum Assured Rs. 25 Lacs
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 5 years
Max. (80 less age at entry) years
Premium payment term Regular at annual, semi-annual,
quarterly or monthly
Riders
  • SBI Life Accidental Death Benefit rider
  • SBI Life Accidental Total and Permanent Disability Benefit rider

Pros

  • Term plans for below poverty line persons
  • Up to 30% discounts on premium for a large sum assured
  • Surrender benefits for single premium cases

Cons

  • 60 years as max-age of entry
  • 80 years as max maturity age

#6. ICICI Prudential Life Term Insurance Plan

ICICI Prudential term insurance has two major benefits –

  • Longer cover till the age of 99 years.
  • one can add accidental rider even after the purchase of term policy

ICICI Pru pays term benefits on the first diagnosis of 34 critical illness. The death / terminal illness benefit includes AIDS as well.

The term plans have four payout options

  • Lumpsum
  • Income – 10% of benefit amount is paid every year for 10 years
  • Increasing Income – Monthly installment for 10 years with the income increasing by 10% each year
  • Lumpsum Plus Income – 50% as a lump sum and the rest as monthly installment

Death Claims Paid Ratio – 92.03%

ICICI Prudential Term Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
Up to 65 years
Max. Maturity age 99 years
Min. Sum Assured As per premium
Max. Sum Assured Unlimited
Policy term 8 – 81 years
Premium payment term Regular at annual, semi-annual,
or monthly
Riders
  • ICICI Pru Accidental death benefit rider plus
  • ICICI Pru Critical Illness rider

Pros

  • Long cover till 99 years of age
  • Terminal illness benefit includes AIDS
  • Can add riders after the purchase of term policy

Cons

  • No rebate on premium for higher sum assured

#7. Kotak Mahindra Life Term Insurance Plan

Kotak Mahindra Life gives the flexibility to convert term plan (only Kotak Term Plan) to a policy of any other plan. Term life covers come with flexible step-up/down options. Like a 50% increase in sum assured at events like marriage and purchase of the house.

Kotak Mahindra Life has three payout options

Immediate payout – 100% lump sum

Level recurring payout – 10% at claim settlement and 6% payable every year for 15 years

Increasing recurring payout – 10% at the time of claim settlement and 6% at the end of the first year after which the payout increases by 10% every year for 15 years.

Drawback – up to 8.8% loading on premium for monthly payments

Death Claims Paid Ratio – 88.88%

Kotak Mahindra Life Insurance Policy Details

Minimum
age at entry
18 years
Maximum
age at entry
Up to 65 years
Max. Maturity age 75 years
Min. Sum Assured Rs. 25 Lacs
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 5 years
Max. 30 years
Premium payment term Regular at annual, semi-annual,
quarterly or monthly
Riders
  • Kotak Accidental Death Benefit rider
  • Kotak Permanent Disability Benefit rider
  • Kotak Critical Illness rider

Pros

  • Flexibility to convert term policy to any other policy
  • Sum Assured step up or down option

Cons

  • 8.8% loading on monthly premium payment
  • lower claims paid ratio

#8. HDFC Standard Life Term Insurance Plan

HDFC Life gives a 5% discount on the premium while purchasing online.

HDFC Life has nine plan options to fit everyone’s requirements.

  1. Life Option – lump sum benefit on death
  2. 3D Life option – waiver of premium on detection of 34 critical illness
  3. Extra Life option – Additional sum assured
  4. Return of premium – On survival
  5. Long-life protection option – Benefits under life option for whole life
  6. 3D Life Long protection option – Benefits under Long life protection option along with the waiver of premium on detection of 34 critical illness
  7. Income Option – Lumpsum plus monthly income (level or increasing)
  8. Extra Life Income option – Extension to the Income option
  9. Income replacement option – In case of death or diagnosis of terminal illness, the nominee will receive 12 times the monthly income as a lumpsum and level/ increasing monthly income.

Death Claims Paid Ratio – 88.63%

HDFC Life Insurance Policy Details

Minimum
age at entry
18 years
Maximum
age at entry
Up to 65 years
Max. Maturity age 85 years/ Whole Life
Min. Sum Assured Rs. 10 Lacs
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 5 years
Max. 50 years/ Whole Life
Premium payment term Regular at annual, semi-annual,
quarterly or monthly
Riders
  • HDFC Life Income Benefit on Accident Disability rider
  • HDFC Life Critical Illness Plus rider

Pros

  • 9 options to select
  • 5% discount on online purchase

Cons

  • lower claims paid ratio

#9. Bajaj Allianz Life Term Insurance Plan

Bajaj Allianz offers unique benefits like the plan on a joint life basis along with spouse, business partner or child.

The joint-life term policy continues even after the death of one person. Bajaj Allianz pays the sum assured on first policyholder’s death and on the second an additional sum assured is paid.

It also offers surrender benefit.

Death Claims Paid Ratio – 83.94%

Bajaj Allianz Life Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
Up to 60 years
Max. Maturity age (100 minus age at entry) years
Min. Sum Assured Rs. 20 Lacs
Max. Sum Assured No limit
Subject to underwriting
Policy term Min. 5 years
Max. 50 years/ Whole Life
Premium payment term Regular at annual, semi-annual,
quarterly or monthly
Riders

Bajaj Allianz does not have additional riders to pick from. However, they have clubbed common riders with term policies as optional.

Pros

  • Joint term policy
  • Life cover upto 100 years
  • Surrender benefits

Cons

  • Lower claim paid ratio

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Best Term Insurance Plans (with Return of Premium)

#10. Aviva Life Term ROP Insurance Plan

On survival, Aviva Term return of premium (TROP) gives the policyholder 110% of the premiums paid at maturity after ( taxes and extra premiums not included). It also gives flexible death benefit of 100% to 120% of the sum assured.

Aviva life has a wide range of sum assured which starts from Rs. 15 Lacs to Rs. 5 Cr. Aviva also gives discounts on premium rates on choosing a high sum assured.

The term insurance comes with surrender benefit after completion of three years of the policy.

Death Claims Paid Ratio – 92.25%

Aviva Term Life Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
Up to 55 years
Max. Maturity age 65 years
Min. Sum Assured Rs. 15 Lacs
Max. Sum Assured Up to Rs. 5 Cr
Policy term Minimum 10 years to 25 years
Premium payment term Regular at annual, semi-annual,
quarterly or monthly
Riders
  • Aviva Life double accident benefit rider
  • Aviva Life critical illness and disability rider.

Pros

  • On survival get 110% of premium paid
  • Death benefit of upto 120% of the sum assured
  • Surrender benefits after 3 years
  • Discount on premium for high sum assured

Cons

  • Higher minimum policy term of 10 years
  • lower claims paid ratio

#11. PNB Metlife Term ROP Insurance Plan

PNB Metlife TROP pays back 100% of total premiums paid on the survival of the policyholder at the end of the policy tenure.

Another benefit is the flexibility to pay premiums for 5 years or 10 years (details as under).

  • For premium payment term (PPT) of 5 years – Policy term = 10 years
  • For premium payment term (PPT) of 10 years – Policy term = 10 or 15 years

Death Claims Paid Ratio – 82.40%

PNB Metlife Term Insurance Policy Details

Minimum age
at entry
18 years
Maximum age
at entry
Up to 55 years
Max. Maturity age 65 years
Min. Sum Assured Rs. 50,000
Max. Sum Assured Up to Rs. 15 Lacs
Policy term For PPT of 5 – Policy Term of 10 years
For PPT of 10 – Policy term of 10 or 15 years
Premium payment term Regular at annual, semi-annual,
or monthly
Riders
  • PNB Metlife Accidental death benefit rider plus
  • PNB Metlife Serious illness rider
  • PNB Metlife Critical illness rider

Pros 

  • Huge PNB branches network in India
  • Flexibility to pay premiums for 5 or 10 years
  • 100% repayment on survival

Cons

  • lower sum assured of Rs. 15 Lacs only
  • lower claims paid ratio

That’s all about term insurance plans. Share your thoughts or queries regarding term insurance in the comments.

1 thought on “11 Best Online Term Insurance Plans in India 2020”

  1. HI,

    I am Mano currently staying in Singapore . My age : 33 yrs / spouse- 25 /Son- 1yr and interests are : Health and Life insurance

    Please suggest me which is best policy for Life Insurance 33 year old male, non-smoker, for Rs 2 Crore Sum Assured. I would like to have optional Riders like Accidental Death Benefit/Critical Illness.

    Also suggest me for group health insurance for 5/10 L .

    Let me know if any details required.
    Regards,
    Mano

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