LIC – Life Insurance Products

Term Life Insurance

Financial protection for your family through life cover for a specified policy term.

How we help

A term plan pays the sum assured to your nominee if you die during the policy term. If you outlive the term, a pure term plan pays nothing back, which is why it buys the most life cover for each rupee of premium.

We start with what your family would need without your income: loans still outstanding, the children's education and several years of household expenses. The cover amount and the term follow from that figure, not from a premium chosen first.

We compare the plans available from the insurers we work with and help you complete the proposal accurately. Health and habits are disclosed in full, because a claim can be refused over a detail left out at the start.

What it covers

Life cover for a chosen term
Financial protection for dependants
Benefits subject to policy terms

Policy benefits, eligibility, premiums, and terms vary by insurance product.

Before you decide

Points to check

01A cover amount that would clear your loans and replace your income for the years your family depends on it
02A policy term that runs at least until your dependants can manage without your income
03Riders such as accidental death or critical illness, and what each adds to the premium
04The insurer's claim settlement record and process
05Full and accurate disclosure of your health, habits and existing policies

Common questions

What people ask us about Term Life Insurance

Do I get anything back if I outlive the policy term?

Not on a pure term plan. Some insurers offer a return-of-premium version that refunds the premiums at maturity, at a much higher premium. We show you both so you can compare the cost.

How much cover do I need?

Enough to clear your loans and replace your income for the years your family would rely on it. We work this out with you from your actual expenses and liabilities rather than a rule of thumb.

What documents are needed?

Usually identity and address proof, income proof such as salary slips or income-tax returns, and a medical examination depending on your age and the cover amount. The insurer sets the final requirements.