Term Insurance Calculator

On what parameters Term Insurance Calculator work?

Term Insurance Calculator is dependent on the following listed parameters:

1. Sum Assured

It is the risk cover you intend to buy for the financial protection of your family. The chosen risk cover is the sum assured which is paid to financially indemnify your family in the unfortunate event of your demise. The sum assured should be computed based on Human Life Value (HLV) which says that calculate your monthly or yearly expenses pus add all the liabilities or responsibilities you have currently or foresee in the near future in a numeric amount including inflation element. The other thumb rule is to have a life cover which is 10 times of your annual income. Higher the sum assured opted higher will be the premium charged by the insurance company to provide you that cover.

2. Date of Birth/Age

Age of the insured is the prominent factor or input required by the Term Insurance calculator. Age determines the premium or cost of buying a Term Insurance Plan. Life Insurance Company charges, mortality for providing a risk cover to the insured which is dependent on the age. Higher the age more is the cost. It is therefore always advisable to buy the best term policy at an early age to enjoy the lower cost and higher benefits.

3. Policy Term

Policy term is the tenure which is opted by the insured to cover his life. The premium is paid for the entire policy term or as a single pay or limited pay option. Higher the policy term, the higher the premium amount. It is always advised that one should opt premium term carefully and prudently to secure his or her family from the financial turmoil.

4. Tobacco Details

The Term Insurance calculator also seeks the tobacco related details from the user.The person who consumes tobacco in any form has a higher incidence of risk on his life as compared to a non tobacco consuming individual. Therefore, the premium charges for a person consuming tobacco is slightly higher than the non tobacco consuming individuals.

5. Gender

There is a price differential for male and female gender. Females get a rebate on a premium due to the fact that they have a higher longevity as compared to males as per statistics. The Term Insurance Calculator assesses the premium amount basis the input given by the user.

What are the Steps to use a Term Insurance Calculator at ComparePolicy.com?

Term Insurance Calculator requires simple steps to be followed by the user to calculate the right cost of buying a term insurance plan online.

Step 1: Enter vital details like Gender, Sum Assured, Policy Term and Tobacco related details in the format prescribed and selecting the valid dropdown option.

Step 2: Submit your Name, Email ID, Mobile Number, City to get the details about the term plan.You will receive a one time password (OTP) on the mobile number provided. Enter the same to proceed further.

Step 3: Enter details regarding how you want your family to get the policy proceeds at the time of claim either the lumpsum payout which is equal to the sum assured or Level/Increasing monthly income term plans or Return of the premium amount at maturity, etc.

Step 4: The Term Insurance Calculator will display the wide range of term insurance plans along with the premium cost basis the input provided by you. Compare and choose the best term plan in India basis your need and requirement.