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Is term insurance worth its cost?

Q: Is term insurance worth its cost?

Yes. Of course, term insurance is worth its cost.It is the most affordable way to provide financial protection to your family. The insurance money from your term plan will help ensure your loved ones dont struggle financially or don’t have to lower their standards of living and are able to meet their life goals in your absence.Whats in it for you? Well, Just because you don’t die, doesn’t mean your premiums will be wasted. With term insurance you will have complete peace of mind and be able to live life on your own terms, knowing that your family will be taken care of if something happens to you.You cant put a price on that, right?

10 Oct 22 | 0 | Share Share Blog Or copy link Share this link via

Authored by: Anurag Ainapurapu

Reviewed by: Krupa Kenia

The Long Read

Everything you *need to know* is right above this. Scroll down, only if you'd still like to read more (honestly, why?)

Yes. Of course, term insurance is worth its cost.

It is the most affordable way to provide financial protection to your family. The insurance money from your term plan will help ensure your loved ones don't struggle financially or don’t have to lower their standards of living and are able to meet their life goals in your absence.

What's in it for you? Well, Just because you don’t die, doesn’t mean your premiums will be wasted. With term insurance you will have complete peace of mind and be able to live life on your own terms, knowing that your family will be taken care of if something happens to you.

You can't put a price on that, right?

Besides financial security for your family, term insurance offers a host of benefits -

● Term insurance offers a large insurance amount at very affordable premiums

● Term plans also offer tax benefits* for you and your family

● Term insurance premiums do not change throughout the policy duration unless you change the life cover and the policy benefits

_{*Tax benefits & exemptions are subject to conditions of the Income Tax Act, 1961 and its provisions and tax Laws are subject to change from time to time. You are requested to seek tax advice from Chartered Accountant or personal tax advisor with respect to personal tax liabilities under the Income-Tax law}

Yes, of course! While term insurance helps you provide financial security to your family, you can also avail tax benefits*. Let's see how -

● Section 80C - Under this, you can claim up to ₹ 1.5 lakh tax deduction for your term insurance premiums

● Section 10 (10D) - Under this, your family does not have to pay any tax on this insurance money

● Section 80D - Under this, you can get tax deduction up to ₹ 25,000, which means you enjoy the benefit of paying lower taxes. Note that this is applicable on the premiums paid for a term policy that come with health-related add-ons like a Critical Illness Rider.

All the more reason for you to get term insurance, right?

_{*Tax benefits & exemptions are subject to conditions of the Income Tax Act, 1961 and its provisions and tax Laws are subject to change from time to time. You are requested to seek tax advice from Chartered Accountant or personal tax advisor with respect to personal tax liabilities under the Income-Tax law}

Disclaimers:

HDFC Life Insurance Company Limited (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101. Registered Office: Lodha Excelus, 13th Floor, Apollo Mills Compound, N.M. Joshi Marg, Mahalaxmi, Mumbai 400 011. Email: [email protected], Tel No: 022-68446530. Available Mon-Sat from 10 am to 7 pm.

ARN: ST/07/24/13467

This material has been prepared for information purposes only, should not be relied on for financial advice. You are requested to seek advice from your financial advisor

For more details on the products , riders , risk factors, associated terms and conditions and exclusions please read the sales brochure carefully before concluding a sale.

Please consult your financial advisor for financial advice.

BEWARE OF SPURIOUS PHONE CALLS AND FICTIOUS/FRADULENT OFFERS

IRDAI is not involved in activities like selling insurance policies, announcing bonus or investment of premiums. Public receiving such phone calls are requested to lodge a police complaint.

HDFC Life | Privacy policy | Terms & conditions

Disclaimers:

The tools and calculators available on this website, like the Term Guide, Underinsurance Checker, and Premium Comparer, (the “Tools”) are indicative tools and are meant to provide a general estimate for your life insurance planning. The results are based on limited facts provided by you, hence HDFC Life Insurance Co. Ltd. (“HDFC Life”) cannot guarantee the accuracy, adequacy, reliability or completeness of any information, computation or recommendation provided by the Tools. By using these tools you provide your consent to HDFC Life to store, process, analyse, or use the data collected from you and you waive your rights you may have in this regard. HDFC Life shall not be liable or responsible for any errors, inaccuracies or omissions or for any loss or damages suffered by any person in connection with the use of or reliance on the Tools. The Tools do not and are not intended to provide any investment, legal, tax or accounting advice. Results from the Tools are not an indication that the product and/or service will automatically be offered by HDFC Life and we reserve the right to offer our product or change information or features of the product and/or service listed at any time without notice. The Tools are the property of HDFC Life and are protected by applicable intellectual property laws. No reproduction, sale, publication, modification, dissemination or commercial exploitation of the Tools or information provided by the Tools is permitted.
HDFC Life Insurance Company Limited (“HDFC Life”). CIN: L65110MH2000PLC128245, IRDAI Reg. No. 101. Registered Office: Lodha Excelus, 13th Floor, Apollo Mills Compound, N.M. Joshi Marg, Mahalaxmi, Mumbai 400 011. Email: [email protected], Tel No: 022-68446530. Available Mon-Sat from 10 am to 7 pm.

ARN: ST/07/24/13467

This material has been prepared for information purposes only, should not be relied on for financial advice. You are requested to seek advice from your financial advisor

For more details on the products , riders , risk factors, associated terms and conditions and exclusions please read the sales brochure carefully before concluding a sale.

Please consult your financial advisor for financial advice.

BEWARE OF SPURIOUS PHONE CALLS AND FICTIOUS/FRADULENT OFFERS

IRDAI is not involved in activities like selling insurance policies, announcing bonus or investment of premiums. Public receiving such phone calls are requested to lodge a police complaint.

1800-268-0890

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Is term insurance worth its cost?