10 Popular Online Term Plans in India

Basic Features offered by almost all Online Term plans are –

  • Offers death benefit only (Sum assured is paid to nominee on the death of policyholder)
  • All type of deaths covered (except suicide which is covered from 2nd year)
  • No benefit on policy maturity (policyholder is still alive at the end of term)
  • Offers tax benefits on premiums paid u/s 80c of IT act
  • Tax exemption on proceeds that are given to the nominee
  • Preferential premium rates for women, non-smokers and high sum assured

Popular Term Plans

Policy Name Insurer’s Claim Ratio Max age at Maturity (yrs) Key Feature
ICICI Prudential iCare II 96.29% 65 No medical test
HDFC Life Click2Protect Plus 95.76% 75 4 plan options to receive death benefit
SBI Life e-Shield 94.41% 65 Option of increasing cover
Max Life Online Term 94.25% 60 3 plan options to receive death benefit
Kotak Life e-Term / e-Preferred term 92.04% 70 Option to increase life cover
Bharti AXA Life e-Term 89.48% 75 Family care benefit
Bajaj Allianz iSecure 88.67% 70 Option to receive death benefit in EMIs
Aviva iLife 87.71% 70 Option to add a critical illness plan
Reliance Life Online Term 86.45% 75 Medical tests at doorstep
AEGON Religare iTerm 66.82% 75 Inbuilt terminal illness rider

* The plans are sorted in descending order of Insurer’s Claim Ratio
* Insurer’s Claim Ratio here shows only Individual Death Claims Ratio as published in Journal 2012-13
* Key Feature may/may not be part of the standard plan

Since LIC is the oldest and biggest player in the life space in India, many visitors still want to compare the online term plans with LIC’s e-Term.

Policy Name Insurer’s Claim Ratio Max age at Maturity (yrs) Key Feature
LIC’s e-Term 97.73% 75 Competitive pricing

Growing Popularity
There is an increasing trend in the number of online term plans sold every month and it is getting better every month. In 2010, only 3 insurers were offering online term plans and now almost all life insurance companies selling term plans online.

From selling less than 500 online term policies in a month, private life insurance companies collectively are believed to sell more than 15,000 online term plans every month. As the concept has spread beyond urban India, people are maturing to the concept of pure insurance and embracing online term insurance plans.

All the online term plans offer supremely great value-for-money and much needed protection for our families which today stands at an average sum assured of Rs.85 lacs. In our mind, there isn’t a better financial product in today’s time than a term plan.

Please note that all articles are of a general nature only and should not be considered as specific advice. MyInsuranceClub does not endorse or recommend any insurance company or product

Curated from 10 Popular Online Term Plans in India


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