3 reasons to buy a term plan online

3 reasons to buy a term plan online

If you are about to buy a term life insurance plan with a broker’s help, wait and read this article first. It lists the reasons why you should buy an online term plan by yourself.

Buying life insurance to safeguard the future of your loved ones is one of the most responsible financial steps you can take in today’s times. The times being as uncertain as they are, you must take every precaution to protect your family’s future dreams. A term insurance plan is a good step in this direction.

However, if you were considering calling your insurance broker to process the policy purchase for you, think again. Buying an online term plan is a much better option than buying it from a broker, for the following reasons:

#1 It is easier to research different term plans online. In the pre-Internet age, potential insurance buyers would sift through reams of paperwork and brochures to read about different life insurance plans. However, the digital medium has now made it possible for each of us to have information literally at our fingertips. You can open multiple windows in your browser and scour the Internet for information on the best online term plans in India. You can compare product benefits and features, policy premiums and tenures, and any other add-ons on the different policies before shortlisting the best ones.

#2 Online term insurance is more affordable. A key benefit of buying term plans online is that the premiums are much cheaper when the policy is purchased online. There are three reasons for this:

– When you buy the term plan directly from the insurance provider online, the latter does not need to deal with a broker or any other middleman. Thus, the company saves on paying the broker’s commission – this is passed on to the customer, thus you get lower premiums.

– Processing fees are much lower on the Internet, since there is no physical paperwork to process or store. All the information and documentation pertaining to the policy is stored on the online cloud. Again, these savings are passed on to you.

– If you are in your 20s, with a regular income, in good health and a non-smoker, then the insurance provider automatically reduces the online term plan premiums for you.

#3 Buy a term plan online quickly and by yourself. Buying a term plan online is (literally) one of the simplest tasks you can do, just like online shopping. Leading insurance providers have simplified the process to such an extent, that you can proceed through the various steps within a few minutes. Each step, right from filling out the online application to uploading the relevant documents, is easy to follow and you are directed from one step to the next. The online term insurance policy is deemed as purchased once you pay the first year’s premium, undergo a medical test (if directed to do so) and receive the policy documents at your residence and in your email inbox.

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