Buy a Life Insurance Plan in a few clicks
Insurance and Investment in one plan.
Protect your family's financial future.
Thank you
Our representative will get in touch with you at the earliest.
Features
Ref. No. KLI/22-23/E-BB/492
Term Insurance Riders, also known as add-ons, offers a customized cover at an additional premium. Click here to know what are riders and common riders that term insurers offer.
Term plans are an excellent option for those looking for a pure life cover. Such plans offer insurance coverage against an unfortunate event of the death of the policyholder during the policy term. The insurance provider offers the sum assured amount to the beneficiary, which may be used to meet various financial obligations. This amount, therefore, acts as an income replacement, especially if you are the breadwinner of the family. Term plans are also known for their affordability, offering a high level of insurance cover at a low premium. Besides, you may enjoy tax benefits towards premiums paid up to an amount of INR 1.5 lakh under Section 80C of the Income Tax Act, 1961. The death benefit amount too may be claimed for tax deduction under Section 10(10D).
Insurers provide allow you to supplement your existing term insurance policy through riders. These riders, also known as add-ons, allow you to enjoy a customized cover at an additional premium.
Following are five of the popular and common riders that term insurers offer.
It is important to note that term plans do not offer coverage for critical illnesses such as heart attack, cancer, or brain tumor, among others. Upon diagnosis of any of the critical illnesses as per your policy document, you are entitled to receive a lump sum amount. This helps you meet medical expenses towards the treatment of the disease without any financial difficulty.
Financial constraints may prevent you from making premium payments towards your term insurance plan. Opting for a waiver of premium rider ensures that you continue to enjoy the policy benefits even if you fail to pay the premium amount. Your term plan, therefore, does not lapse completely.
In case you are the breadwinner of the family, chances are that your family may be left financially crippled in an unfortunate event. To avert such a scenario, you may purchase an income benefit rider. This rider provides a regular stream of income to your beneficiary, for a specified period, say five to ten years. Your loved ones may, therefore, manage their finances easily and have a good lifestyle even in your absence.
As the name suggests, this rider in term insurance offers insurance coverage against an accidental death. The insurance provider is entitled to offer an additional sum over and above the sum assured amount, in an event of death due to an accident.
Some accidents may leave you with a temporary or permanent disability. In an occurrence of such an event, an accidental disability rider comes to the rescue. The insurer provides a pre-defined percentage, of the sum assured amount, for a certain timeframe, say five to ten years. This amount may also be treated as an income replacement since you may lose your ability to work on a temporary or permanent basis.
Riders in term insurance maximize your insurance coverage and help you gain control over the financial security of your loved ones. You may, therefore, choose the most appropriate riders according to your requirements and enjoy peace of mind at all times.
1. Do add-on features for health insurance policies really add value?
Amit Raje is an experienced marketer who has worked in various Fintechs and leading Financial companies in India. With focused experience in Digital, Amit has pioneered multiple digital commerce in India. Now, close to two decades later, he is the vice president and head of the D2C business department. He masters the skill of strategic management, also being certified in it from IIMA. He has challenged his challenges and contributed his efforts in this journey of digital transformation.
Prasad Pimple has a decade-long experience in the Life insurance sector and as EVP, Kotak Life heads Digital Business. He is responsible for developing user friendly product journeys, creating consumer awareness and helping consumers in identifying need for life insurance solutions. He has 20+ years of experience in creating and building business verticals across Insurance, Telecom and Banking sectors
Features
Ref. No. KLI/22-23/E-BB/2435
The information herein is meant only for general reading purposes and the views being expressed only constitute opinions and therefore cannot be considered as guidelines, recommendations or as a professional guide for the readers. The content has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. Recipients of this information are advised to rely on their own analysis, interpretations & investigations. Readers are also advised to seek independent professional advice in order to arrive at an informed investment decision. Further customer is the advised to go through the sales brochure before conducting any sale. Above illustrations are only for understanding, it is not directly or indirectly related to the performance of any product or plans of Kotak Life.
