Today people are looking at everything from a different perspective, and likewise, ‘term insurance‘ is also seen. It is one of the market’s most imprecise financial goods. There was a significant disparity in what precisely the term insurance is versus what is being called, owing to the conventional thought procedure. While this policy was the purest type of life insurance, it has never become successful with consumers as they are not fully informed of the total advantages it provides. We’ll tell you about five common term insurance myths in this article to make the right decision.
The most common term insurance myths that were bust for you
Myth 1: Term Insurance is Costly
Truth: Many people prefer to stop purchasing term insurance policy because they believe it’s a costly commodity, and the price is high. However, the fact is that one of the best kinds of insurance policies is the variable insurance plan. You can buy a term insurance policy for as low a premium as Rs 500 per month.
When you’re conducting your homework carefully by comparing different term insurance policies, you’ll be able to pick one that fits your preferences and is under your budget.
Myth 2: Insurance cover is not required for single people
Truth: It is absolutely a misconception that purchasing term insurance cover requires only married persons. Many people get to hear that they don’t need to buy an insurance cover until they get married or become parents. However, the truth is that you should invest in a term insurance plan for loans like car loans, personal loans, home loans or credit card duties, even if you are not married.
You don’t want to see something happen to your kin in case you are bearing the debt. If you are not married, you have no obligation, and you have sufficient savings to take care of any emergency expenses, then you can purchase a term plan.
Myth 3: Term insurance cannot be bought after the 40 Years of Age
Truth: People often fall for this false notion that a term insurance plan can not be purchased by people older than 40 years. Note that for most people in their working life, the 40s and 50s are the most financially productive periods. The truth is that many insurance companies in India let you buy a policy until you are 65 years old. So if you haven’t purchased term insurance cover until age 40 and you’re planning to buy one, you can still do it.
Myth 4: Buying term insurance online is risky
Truth: Nowadays, one can conveniently purchase insurance plans online, but people believe purchasing an insurance policy online is dangerous. It is not so as online sites offer you the possibility of concurrently reviewing the theories of multiple insurance providers and making an educated decision. There are no risks of an employee misleading you with a program.
Myth 5: The policyholder is unprofitable
Truth: Term insurance policies provide the family with financial protection, but that isn’t it. Such term policies also provide the policyholder with financial support when he/she can need it most, whether he/she is afflicted by a severe illness such as cancer, heart attacks and more. It comes in handy and secures finances, particularly if the capacity to earn is compromised.
