It is only but natural to worry about the future and ensure that you have a safety net when it comes to finances, whether it is for you or your family. One of the easiest ways to counter such situations is by purchasing life insurance. And a term insurance calculator would be of great help in buying a term insurance. Read on to know the key benefits of a term insurance calculator.
But if you are even partially aware of the insurance sector, you would know that there are a lot of insurance products to choose from. The variety and magnitude of products in the market can be a bit overwhelming. One life insurance product that you must take a closer look at it, is a term plan. A term plan or a term insurance is the simplest form of life insurance, wherein you pay the premium and get a life cover for the certain duration of years. Unlike most other life insurances, a term plan does not have any savings or investment components. This helps it unclutter most of the things and keep the costs down.
In fact, a term plan is one of the most affordable insurance cover available in the present day. If you consider any normal insurance plan such as whole life or endowment, a term plan will provide the same cover at fraction of its cost. Knowing that you need a term plan and actually purchasing a term plan are two completely different things. Most of us struggle with some aspects of a term plan, which is why insurers came up with a tool to assist in making the decision.
If you visit the website of an insurer you will come across a tool, insurance calculator. The calculator aides you in deciding the right cover for you that will help your loved ones in your absence. Once you figure out what is the sum assured, the tool also lets you know the insurance premium you must pay to avail the same. Here are some of the major benefits of using a term insurance calculator.
Benefits of Using a Term Insurance Calculator:
- Getting a quote
A term insurance calculator essentially helps you get a quote for your term plan. Imagine getting a quote right at your fingertips without having to speak with any insurance agents or representatives of the insurer. You could also play around with the sum assured and see how that impacts the insurance premium. This lets you decide the right amount needed for your life cover. Some calculators have some predefined questions and they provide an estimate of the life cover that you suffice your needs.
Once you are comfortable with the life cover amount it provides you with the premium amount that the insurer is charging you for it, you can buy the policy right away. As a matter of fact, buying term plan online is cheaper than getting it from an agent or directly walking into an insurer’s office. As there are no intermediaries involved with online transactions, the benefits are passed on to the customers.
This takes the affordability factor a few notches higher. When you go online and use a term insurance calculator, you can compare term insurance plans provided by different companies along with their price and features. This not only gives you a cheaper plan but also one that has the most features in it. Having said that, you shouldn’t always aim for the cheapest plan and do keep a close eye on the features and benefits.
Addition of a term plan to your financial portfolio is a decision that will make you happy and ease your mind of any worries. With the help of a term insurance calculator, you will be able to reach that decision a bit faster and with fewer hassles.