Buy a Life Insurance Plan in a few clicks

Now you can buy life insurance plan online.

Kotak Guaranteed Fortune Builder

A plan that offers guaranteed income for your future goals. Know more

Kotak e-Term

Protect your family's financial future. Know more

Kotak Assured Savings Plan

A plan that offer guaranteed returns and financial protection for your family. Know more

Kotak Guaranteed Savings Plan

A plan that offers long term savings and life cover. Know more

Kotak e-Invest

Insurance and Investment in one plan. Know more

Kotak Lifetime Income Plan

Retirement years are the golden years of life. Know more


Get a Call

Enter your contact details below and we will get in touch with you at the earliest.

  • Select your Query

Thank you

Our representative will get in touch with you at the earliest.

Things To Do After Buying Term Insurance

Inform your loved ones about the purchase of the policy, Safeguard the policy document, Remember your premium payment date, Be aware of the claim process, etc.

  • Mar 22, 2018

A term insurance plan is the best option for those looking for a pure life cover. This type of life insurance comes with a low premium cost and offers benefits to the policyholder’s loved ones in case of an unfortunate death.

Things to do after purchasing a term policy

Purchasing a term policy is indeed one of the best financial decision you may take in your life. You may review the complete and comprehensive term insurance checklist while investing in such a plan. However, your task is incomplete if you do not follow it up with numerous other steps.

Following are eight things you may do after buying term insurance.

  • Inform your loved ones about the purchase of the policy

The main purpose of a term insurance policy is to provide financial security to your loved ones in your absence. It is, therefore, necessary to inform your loved ones or your beneficiaries about the purchase of your term policy. By doing so, your loved ones are made aware of the policy. In an unfortunate event, they may claim the policy for which you have been making regular premium payment. You may also share information on various details of the policy such as the sum assured amount, the premium amount, the duration of the policy, as well as the insurance company name.

  • Safeguard the policy document

It is imperative to ensure that the policy document is kept safe at all times. You may inform your loved ones about the location of the policy document. The policy may be kept at a location that is accessible to your financial dependents. In case of loss of the document, your loved ones may find it difficult to initiate a claim. You may take a printout of the policy document in case it is in an electronic form, say email or demat form.

  • Check the policy for exclusions

This is one of the most important steps that must be conducted after the purchase of the term insurance policy. You may go through the fine print of the policy in detail. You may check the inclusions and the exclusions of the policy.

Certain insurance providers do not cover death in case of certain abnormal circumstances. This may include an accidental death due to the influence of certain substances, death caused due to a hazardous activity, death caused as a result of a criminal activity, or death due to any pre-existing medical condition, among others. Depending on the type of plan and the insurance provider, other exclusions include death due to suicide or self-inflicted injury. It is necessary to be well-aware of such exclusions in order to avoid a claim denial in the future.

  • Check the policy for any errors or omissions

Though the probability of an error or omission is low, the risk cannot be eliminated. Once you receive the policy document, you may, therefore, inspect it thoroughly. You may check if there are any errors with respect to the sum assured amount, the term of the policy, your personal information, or any other details. You may also examine whether any omissions have been made in respect to certain inclusions of the term policy, or any other aspect.

  • Remember your premium payment date

Many often fail to renew their existing term insurance plan. Failure to renew your term insurance may result in the policy being lapsed. In such a case, you may have to undergo a medical examination to ascertain any medical condition. The insurance provider may reject your insurance in case you are found to have health issues. Besides, you may have to bear the cost of such a medical examination.

In order to avoid such a situation, it is necessary to remember your premium payment date. You may mark your calendars and make premium payment on time. You may opt for an auto debit option, wherein the amount gets automatically deducted from your preferred bank account on the specified date. Alternatively, you may also opt for direct debit through internet banking or may set up a credit card standing instruction.

  • Review your insurance policy regularly

You may opt for a certain level of coverage based on your current income, financial goals, and financial dependents. However, inflation may increase over time. Besides, the number of financial dependents may increase. Your existing level of coverage may not suffice the future needs of your loved ones. For this purpose, you may consider reviewing your insurance policy once in a while. Based on your requirements and needs, you may consider buying an additional cover.

  • Be aware of the claim process

Upon the death of the policyholder, the insurance provider is liable to pay the sum assured amount to the beneficiary. However, in order to receive the death benefit amount, it is necessary for the beneficiary to make a claim. You may, therefore, inform your loved ones about the process of making the claim. While different insurers have their own set of procedures, the most standard process remains the same. Your beneficiary is required to notify the insurer and fill the claim form. It is also necessary to submit the required documents such as death certificate, autopsy report, police documents, and identity proof of the claimant, among others. Upon successful verification of all the documents, the insurance provider then disburses the death benefit amount.

  • Review the nomination

A term plan is mainly brought to fulfill your nominee’s financial obligations in your absence. You may have nominated a certain family member to receive the death benefit. However, with the passage of time, situations may change and you may wish to change the nomination. In such a case, you may contact the insurance company and request a nomination change at the earliest.

The death of a loved one is a painful experience. Though nothing can replace a loved one, you may lessen the financial burden by opting for a term insurance policy. By doing so, you may enjoy peace of mind knowing that all their financial needs will be taken care of even in your absence. This helps in providing your loved ones with financial security and protection at times they need it the most.

Advantages of a term policy

There are numerous advantages of investing in a term insurance policy. One of the major term insurance benefits is that it offers coverage against uncertainties. In an event of a premature death during the tenure of the policy, the insurance provider is liable to pay a sum assured amount to the beneficiary. This amount may be used to meet lifestyle expenses, cover funeral costs, or repay an existing debt, among others. Besides, the amount also acts as an income replacement, especially if the policyholder is the breadwinner of the family. Many insurers allow you to enhance your coverage by offering numerous rider options. Some of the most popular term insurance riders include critical illness rider, accidental death rider, partial disability add-on, permanent disability rider, income benefit add-on, and waiver of premium rider, among others.

Another advantage of a term insurance policy is affordability. You may, therefore, enjoy a high level of coverage at affordable premiums. Besides, you may avail of tax benefits on the premiums paid under Section 80C of the Income Tax Act, 1961. The good news is that the death benefit amount is also exempt from tax under Section 10 (10D).

Due to such benefits, you may purchase a term insurance policy and financially protect your family.

Kotak e-Term

Download Brochure


  • Life Cover till 85 years for Life & Life Secure Option
  • 3 Payout Options
  • Special Rates for Women
  • Option to exit the policy with premium refund at the age of 60*
  • Special Rates for Non-Tobacco Users
  • Free Medical Check Up every 5th year**

Ref. No. KLI/22-23/E-BB/2435


- A Consumer Education Initiative series by Kotak Life

Similar Articles

Everything About Claim Settlement Ratio for Term Insurance

Which is better limited pay or regular pay in term insurance?

Term Insurance Plans and Policies for Smokers

How to Buy 1 Crore Life Insurance Policy Without Medical Test

Term Insurance Terminology

Why Should You Add a Rider to a Term Insurance Plan?

Terms and Conditions of Term Insurance Plans

₹5 Crore Term Insurance

Should You Buy a Term Plan After 40?

Term Insurance Claims – Make Sure Your Claims Are Never Rejected

Term Plans are Definitely Cheaper than You Think!

What Should be the Right Term Insurance Plan Duration?

Advantages & Disadvantages of Term Insurance in India

Is Term Life Insurance Plan Worth?

How To Evaluate Your Term Insurance Quote?

What is Critical Illness Policy?

What is Term Insurance: Definition and Benefit of Term Plan

All About Term Insurance Inbuilt Coverage

Can I Make Changes to My Term Insurance Policy Post Purchase?

How Much Term Life Insurance Cover Do I Need in India?

Choose the Nominee of a Term Life Insurance Plan Wisely

Documents Required for Term Insurance

Key Differences Between Term Insurance, ULIPs, And Health Insurance

Term Insurance for Home Loan: How Term Plan Helps in Paying Off Home Loan?

Should You Have Multiple Term Life Insurance Policies?

What Is the Correct Age to Buy Term Insurance?

What is a short term insurance policy?

Tax Benefits of Term Insurance in India

Age Limit for Term Life Insurance

Various Term Insurance Premium Payment Options Available in India

Make Your Online Term Plan Your Familys Monthly Payout

Can I Extend the Tenure of My Term Insurance Plan?

Is it a Good Time to Buy Term Insurance During the COVID-19 Pandemic?

How to choose the right term insurance plan

How Much Term Life Insurance Cover Do I Need?

Term Vs. Whole Life Insurance: Which One You Should Buy in India?

Insurance Policy for Housewife In India

What All Documents Required For Term Insurance In India?

Can I Buy Term Insurance for a COVID-19 Patient?

₹2 crore Term Insurance

क्रिटिकल इलनेस राइडर के साथ टर्म इंश्योरेंस के लाभ

Here's why Renewal of Term Plan is Important

What Are Insurance Riders and How to Choose Them in a Term Plan?

How To Choose the Right Term Insurance Plan?

Joint vs Individual Term Insurance: Which One Should You Choose?

Why Buy Term Insurance Even at Rising Rates?

Why You Need to Know About the Critical Illness Plan?

Top 5 Features of Term Insurance

Endowment Plans vs Term Plans: Understanding the difference

Difference Between Short-Term and Long-Term Insurance

जीवन बीमा पॉलिसी लेने की प्रक्रिया क्या है?

Everything about Incremental Term Life Insurance Policy

Term Insurance for Women

How to Find the Best Term Insurance Plan in Seven Steps

Term Insurance: What Happens When You Don’t Pay Your Premiums?

How To Choose the Right Sum Assured Under a Term Plan?

Why Should You Buy Term Insurance in 2022?

5 Reasons to Buy Term Insurance When You are in Your 30s

9 Questions You Should Ask Before Buying Term Insurance

Can a Housewife Buy a Term Insurance Plan - All You Need to Know

How Does Term Life Insurance Work? Learn the Benefits

Can I Get Term Insurance on Behalf of My Spouse?

Difference Between Term Insurance and Endowment Plan

Should you have more than one nominee in your term insurance?

Can You Increase Your Term Insurance Cover?

टर्म इंश्योरेंस क्या है? टर्म इंश्योरेंस का मतलब

Why Term Plan Should Be The First Step To Securing Your Future?

How Does Short-Term Life Insurance Work?

What Is a Passive Income? Why Should You Use It to Buy a Term Plan?

Calculating Term Insurance Premium

What Types of Deaths Are Covered in a Term Insurance Plan?

How Not To Get Your Term Insurance Claim Rejected

Make Your Online Term Plan Your Family's Monthly Pay Cheque

Why Should You Rethink Short Term Insurance Plans

Different Types of Premiums in Term Insurance?

Term Insurance Comparison – What Should You Look Out for?

What is the Right Term Period For Term Insurance Policy? Here's How You Should Choose!

Term Insurance with Critical Illness

4 Methods to Calculate How Much Term Insurance You Need

₹1.5 Crore Term Insurance

Why Buy Term Insurance Plan With a High Cover?

Types of Deaths Not Covered by Term Insurance

Term Insurance Basics You Should Know

Guide for Buying Online Term Insurance Plans for Senior Citizens

Should Youngsters, Working Couples Buy Term Insurance Plans?

8 Factors to consider before choosing a Critical Illness Insurance

Hiding vital facts while buying term insurance? Claims may be rejected

Term Insurance vs Life Insurance: Understand the Difference and Benefits

Term Insurance Vs Car Insurance: A Budgetary Choice You'll Regret

Why Married People Should Buy Term Insurance Under MWP Act?

5 Things To Consider While Buying Term Insurance Plan

Do Beneficiaries Pay Taxes on Term Insurance?

How Does Term Life Insurance Work? Learn the Benefits

Cost of Term Insurance Likely to Increase Soon

टर्म इंश्योरेंस क्लेम प्रक्रिया

Why is it important to buy term insurance plan?

Why Term Insurance Is Important in times of COVID-19?

Buying A Term Insurance? Don't Ignore the Claims Settlement Ratio

Individual Life Insurance vs. Group Term Life Insurance

1 करोड़ का टर्म इंश्योरेंस प्लान क्या है?

Why One Must Buy Term Insurance before 25 Years

How to Buy ₹1 Crore Life Insurance Policy Without Medical Test?

Term Insurance Tips for NRIs in India

Can Non-Resident Indians (NRIs) Buy Term Insurance In India?

Why You Must Include In Your Financial Planning?

Take 100% Responsibility for Your Family with Term Life Insurance

Term Insurance: Most Common Term Insurance Myths Explained | Kotak Life

Term Insurance Calculator - Everything You Need To Know

Is There Any Tax Benefit on Term Insurance?

4 Things To Expect From Your Term Insurance Plan in India

Does Term Insurance Cover Accidental Death?

4 Reasons Why You Need Critical Illness Cover

How do I Calculate My Term Insurance Premium

Reasons Why Term Insurance Claims Get Rejected

Steps on How to Buy Term Insurance Online

Online vs Offline Term Insurance - A Comparison

How to Buy a Term Life Insurance Online

Why Should You Buy Term Insurance under the MWP Act (Married Women’s Property Act)?

10-Year Term Life Insurance Policy - Explained in Detail

Can NRI Buy Life Insurance in India?

Why Term Insurance Is Must For Parents

Term Insurance vs. Endowment Plan: Know the Differences

टर्म इंश्योरेंस बनाम लाइफ इंश्योरेंस: अंतर और लाभ समझें

Buying A Term Insurance Plan? Take These Factors into Account

How To Change The Nominee in Term Insurance?

Can You Buy Multiple Term Insurance Policy?

What is a Joint Term Insurance Plan? Key Benefits of Joint Term Plan

What Happens to Term Insurance Plan With No Beneficiary - Kotak Life

How to Identify Term Insurance According to Your Needs?

Eligibility Criteria for Buying Term Insurance in India

₹50 Lakh Term Insurance

Is term Insurance Needed for People With No Dependents?

How to Compare Term Insurance Online

Gift Your Father A Term Insurance Plan This Father's Day

6 Types of Death not covered in Term Insurance Plan

Benefits of Short-Term Life Insurance Policy

All you need to Know about Term Insurance Plans for housewives

Term Life Insurance Vs Money Back Life Insurance

Do term insurance policy have a waiting period after buying?

A Term Insurance Guide for Disabled People

भारत में जीवन बीमा कितने प्रकार के होते हैं?

Why Buying a Term Plan Is Smarter Than Traditional Life Insurance Products

Term Insurance Claim Process

Why Should New Parents Buy Term Life Insurance?

Salient features of a Term Insurance Plan

Reasons You Need Term Insurance Plan as a Self-Employed Person

How Much Cover Should I Take In A Term Plan?

Understanding Term Insurance Riders

Advantages of Buying Term Insurance in Your 50s

Do I Need to Give a Medical Test for Term Insurance in India?

Zero Cost Term Insurance Plan: What is & Should you buy it?

8 Benefits of Term Insurance You Should Know

Top 3 Reasons Why You Should Buy A Term Plan Now

Can You Get Term Insurance Without Income Proof?

Which Death Type Does Your Term Plan Not Cover?

Key IRDAI Regulations That Changed Face Of Term Insurance Industry In 2020

Should Retirees Buy Term Insurance?

Term Insurance As A Gift | Perfect gift for your Loved ones

Is Death Due to Covered by Term Insurance?

Is a Term Insurance Policy Portable?

Term life insurance: Should you opt for lump sum payout or staggered payout?

Term Insurance: Smokers vs Non-Smokers

6 Reasons That Make Term Insurance a Must Buy

Why 1 Cr Term Plan Is Necessary For Family?

Is it Worth Buying Disability Rider on Term Insurance?

Want to surrender your term insurance policy? Here's a guide

Term Life Insurance Plan for Smokers vs Non-Smokers

5 Term Insurance Benefits for Single Women

Why Term Insurance Is Better Than ULIP?

Busting Myths and Facts About Term Insurance Policies

Term Insurance With Riders In India

What Are the Best Term Insurance Plans for Planning Retirement?

₹75 Lakh Term Insurance

Why Should You Not Take A Term Plan Without Medical Test in India?

What Is Staggered Payment Option Under Term Insurance Policy?

9 Most Frequently Asked Questions on Term Insurance

Is Group Term Life Insurance Provided By Employer Sufficient?

Family Protection Term Insurance: Safeguarding Your Loved Ones

Renewable Term Insurance

Surrender Term Life Insurance Policy

5 Things to Consider When Buying Term Insurance, if you are Single

What is a term insurance plan with a return of premium, and how does it work?

When is the Right Time to Buy Term Life Insurance Policy for Yourself?

Should you buy a Renewable Term Life Policy?

Know the many types of life insurance policies in India

Is ₹1 Crore Term Insurance Good Enough Cover?

How Does BMI Affect Your Term Insurance Premium?

While Buying Term Insurance Compare Features, Not Just Premiums

What is Salary Protection Insurance and Why You Need It

Smart Steps to keep in mind while buying term policies

Are The Add-ons and Optional Features of Term Insurance Plans Actually Beneficial?

Why should single women purchase term life insurance?

Is It Good To Buy A Term Insurance Plan In 2022?

Why does every working women need life insurance?

Alzheimer's Disease and How It’s Covered Under Health Insurance

Why Renewal of the Life Insurance Policy is Important?

Why Premium Amount for Term Insurance is So Low?

Term Insurance Trends You Must Know

5 methods to calculate how much term insurance you need

Importance of Term Insurance at Every Stage of Your Life

Can Senior Citizens Avail Term Insurance?

वरिष्ठ नागरिकों के लिए ऑनलाइन टर्म इंश्योरेंस प्लान खरीदने के लिए गाइड

Increasing Term Insurance and Riders

Which Death Types are Covered by Kotak E-Term Plan?

Term Plan with Spouse Cover

Why Online Term Insurance Plans Cheap?