When it comes to protecting the financial well-being of your family, a joint term life insurance policy in India can provide comprehensive coverage for both you and your partner. Joint term life insurance offers the convenience of shared coverage under a single policy, ensuring that both individuals are protected in the event of an unfortunate incident. With numerous insurance companies offering joint term life insurance policies in India, it becomes essential to explore the options and find the best policy that suits your specific needs. In this article, we will dive into the topic of joint term life insurance in India, the benefits, key factors to consider, and the top insurance companies offering these policies.
What is Joint Term Life Insurance?
Joint term life insurance policies are designed to provide coverage for two individuals, typically spouses or partners, under a single policy. This type of policy offers a shared death benefit, meaning that if either person passes away during the policy term, the surviving partner will receive the predetermined sum assured. Joint term life insurance policies function similarly to individual term life insurance, offering financial protection for a specified period, but with the added advantage of covering both individuals simultaneously. If both die at the same time, the children get the sum assured amount. Buying a single policy is a cheaper alternative to buying two separate policies.
Types of Joint Term Insurance Plans
A Joint Life Term Insurance policy is two types one is a basic term plan and another one is an endowment plan.
Term Plan:
In this type of joint term life insurance, both partners pay a single premium for a fixed period. In this type of joint term life insurance, In the case of the death of one partner, the other partner will receive the sum assured as a death benefit. After which, the cover expires. Some policies of this type of joint life insurance have a limit on the claimable cover amount.
Endowment Plan:
In this type of joint term life insurance policy, both couples receive the sum assured amount after the expiration of the policy. An endowment policy has an investment option. In this type of joint life insurance plan, In the case of the death of one partner, the other partner will receive the sum assured as a death benefit and endowment money on maturity of the predefined period. In this policy, after the death of one policyholder no need to pay the premium payments by another policyholder.
Benefits of Joint Term Life Insurance for Couples in India
Joint term life insurance for couples offers several benefits. Here are some key advantages:
- Comprehensive Coverage: Joint term life insurance provides coverage for both partners under a single policy. This ensures that both individuals are protected in the event of the death of either spouse or partner. It offers a convenient and efficient way to secure the financial future of the couple as a unit.
- Cost Savings: Opting for a joint policy can often result in cost savings compared to purchasing two separate individual policies. Joint policies typically have lower premiums than two separate policies with equivalent coverage amounts. This can be particularly beneficial for couples looking for affordable life insurance options while ensuring sufficient coverage for both partners.
- Simplicity and Convenience: Managing a single joint term life insurance policy is more convenient than handling separate policies. Couples only need to deal with one policy document, one premium payment, and one renewal process. It simplifies the administrative tasks associated with life insurance, making it easier to stay organized and ensure consistent coverage.
- Shared Financial Protection: Joint term life insurance provides shared financial protection for both partners. In the event of the death of one partner, the surviving partner receives the death benefit, which can help cover financial obligations, such as mortgage payments, outstanding debts, or daily living expenses. It offers peace of mind and reassurance that the surviving partner will be financially supported during a challenging time.
- Survivorship Benefits: Joint policies often come with survivorship benefits, ensuring that the surviving partner is financially secure after the death of their spouse or partner. This can help maintain their standard of living, provide for children's education, or address any outstanding financial commitments. Survivorship benefits provide an added layer of protection and support during a difficult period.
Advantages and Disadvantages of Joint Term Life Insurance:
A joint term insurance plan provides life coverage for both partners and has similar terms and conditions as that of an individual term plan. In a joint term life insurance plan, both husband and wife are covered under the same policy; it is easy to keep track of the plan. Some advantages and disadvantages of joint term life insurance are
Advantages of Joint Term Insurance:
- Pay-out Options: A joint term life insurance policy provides multiple types of pay-out options to choose from to meet the requirements of different people. Various Pay-out Options of Joint term life insurance are
- In the case of the death of either partner, the surviving partner gets the sum assured as a lump sum amount, and then the policy ends.
- In the case of the death of one partner, the other partner will receive the sum assured as a death benefit.
- Tax Benefits: The premiums paid towards a joint term life insurance policy are eligible for a tax deduction. The tax benefits are availed under sections 80C and 10(10D) as per the Income Tax Act, of 1961.
- Add-ons/Riders: Joint term life policies are available with additional riders to enhance the coverage of the insurance policy. The premium of a rider is charged as per the plan selected.
- Save Money and Time: Term life insurance is affordable, but the premium paid towards two policies is still higher than that paid for a joint term policy. So by choosing a joint term life insurance, you can save money as well as time.
- Easy Maintenance: In joint term life insurance the premium paid by the customer is a single premium. Both partners do not have to pay the premium separately, either can do it, as both have access to the policy account.
Disadvantages of Joint Term Insurance:
Only one death pay-out: Unlike a term life insurance policy, a joint life insurance policy offers only one pay-out in the vent of the death of one of the policyholders. Even if both partners die, the nominee is allowed only one death benefit.
Conversion: In the case of a divorce, the joint term life insurance policy needs to be converted into a single-term policy. If one of the partners rejects to make payments, the total burden shifts to the other partner.
Top Best Joint Term Life Insurance Policies in India
When it comes to choosing the best joint term life insurance policies in India, several factors need to be considered, such as coverage options, premium affordability, claim settlement ratio, and the reputation of the insurance companies. While individual preferences may vary, here are some top insurance policies known for their comprehensive coverage and customer satisfaction:
Bajaj Allianz iSecure Insurance Plan
Bajaj Allianz iSecure term plan is a non-linked, non-participating, individual, life, regular, and limited premium level cover pure risk premium plan that secures your family’s financial protection needs.
Features & Eligibility:
|
Factor |
Eligibility |
| Entry Age |
Minimum 18 years to Maximum 65 years |
| Age at Maturity |
Minimum - 28 years to Maximum - 85 years |
| Sum Assured |
Minimum Rs.25 Lacs and Maximum – Rs.50 Lacs |
| Policy Term |
Minimum-10 years and Maximum – 85 years |
| Premium Payment Options |
Single payment, Regular payment or Limited payment period for 5,10,15,20, 25, & 30 years. |
| Premium Payment Modes |
Single/ Yearly/ Half yearly/ Monthly |
PNB MetLife Mera Term Plan Plus:
The plan offers you the flexibility to choose protection against Death, Critical Illness, Disability, and Terminal Illness along with various additional options like spouse coverage and whole-life protection. You can also customize your coverage with various cover enhancement options available under the plan.
Features & Eligibility:
|
Factor |
Eligibility |
| Entry Age |
Minimum 18 years |
| Age at Maturity |
Maximum 75 years |
| Sum Assured |
Minimum Rs.25 Lacs and Maximum - no limit |
| Policy Term |
Minimum-10 years |
| Premium Payment Modes |
Single/ Yearly/ Half yearly/ Monthly |
SBI Life Smart Humsafar Plan
SBI Life-Smart Humsafar plan is a joint life insurance cum savings product that provides you with dual benefits of insurance coverage and savings for you and your spouse.
Features & Eligibility:
|
Factor |
Eligibility |
| Entry Age |
18 years to Maximum of 46 years |
| Age at Maturity |
Maximum 65 years |
| Sum Assured |
Rs. 1 lakh to Rs. 5 Lakhs |
| Policy Term |
Minimum 10 years to Maximum 30 years |
| Premium Payment Modes |
Yearly, half-yearly, quarterly, and monthly. |
Factors to Consider When Choosing a Joint Term Life Insurance Policy
When choosing a joint term life insurance policy, it's crucial to consider several factors to ensure you make an informed decision that aligns with your needs and financial goals. Here are some key factors to consider:
- Coverage Amount
- Policy Duration
- Premium Affordability
- Claim Settlement Ratio
- Additional Benefits and Riders
- Reputation and Credibility
- Policy Terms and Conditions
By considering these factors, you can evaluate different joint term life insurance policies and choose the one that offers comprehensive coverage, affordability, and financial security for both you and your partner.
Tips for Buying a Joint Term Life Insurance Policy
When buying a joint term life insurance policy, consider the following tips to ensure you make a well-informed decision that suits your needs and provides financial security for both you and your partner:
- Assess Your Insurance Needs: Evaluate your financial situation, outstanding debts, future goals, and the needs of both you and your partner. Determine the coverage amount and policy duration that will sufficiently protect your family's financial future.
- Compare Multiple Insurance Companies: Research and compare joint term life insurance policies from multiple insurance companies. Consider factors such as coverage options, premium rates, claim settlement ratio, and customer reviews. This will help you identify reputable insurers offering competitive policies.
- Read Policy Documents Carefully: Carefully review the policy documents, terms, and conditions of the joint term life insurance policy. Understand the coverage, exclusions, premium payment details, renewal options, and any additional riders or benefits associated with the policy.
- Consider Premium Affordability: Evaluate the premium affordability for both you and your partner. Ensure that the premium payments fit within your budget throughout the policy term. Consider the long-term financial impact and choose a policy that is sustainable for your financial situation.
- Understand the Claim Settlement Process: Familiarize yourself with the claim settlement process of the insurance company. Review their claim settlement ratio and reputation for prompt and efficient claim settlements. A smooth claims process is crucial during times of need.
- Consider Additional Riders: Assess if the policy offers optional riders that can enhance coverage. Riders such as critical illness cover, accidental death benefit, or disability cover can provide additional financial protection based on your specific needs.
Joint Term Life Insurance Premium Calculator
The online joint life insurance calculator tool is used to calculate the premium of the joint term life insurance policy. You can calculate the amount of premium payable by entering a few details such as mobile number, name, date of birth, email address, occupation, type of policy, sum assured, gender, state, etc.
The premium paid by the customer is depending on many factors. The Factors affecting the premium are the age of the policyholder, type of policy, sum assured required, etc. The premium calculator tool will reflect the estimated premium amount that the policyholder will have to pay for the cover he/she requires based on these factors. Once you provide all the relevant details and then click on the submit tab, you will receive details regarding your monthly premium.
How to Purchase Joint Term Insurance Policy Online?
The process of buying a joint term insurance plan online has become simple with PolicyBachat. A joint life insurance comparison is the best way to get the best life insurance policy. For buying a joint term insurance plan online please visit our website Policybachat.com Follow the steps to purchase the life insurance policy online in our portal.
- Step 1: First, Enter the details such as Gender, Annual income from all sources, Alcohol consumption and tobacco consumption, type of occupation, salary, and Date of Birth. After this, you need to enter your contact details to facilitate a call from our agent.
- Step 2: Now the premium from different insurance companies will be displayed on the screen. You can edit the details such as Coverage, Term, Premium payment method, Mode of claim settlement, etc. Submit the details to get the desired premium. The premium can be changed by changing other factors such as Coverage required, mode of payment, etc.
- Step 3: The next step is to select the best life insurance plan and pay the premium to the insurance company before proceeding to fill out the proposal form details.
Conclusion
Joint term life insurance policies provide comprehensive coverage for both partners under a single policy, offering convenience and shared financial protection. Choosing the best joint term life insurance policy in India is a crucial decision for couples looking to secure their financial future. By exploring the advantages of joint term life insurance and considering the top insurance companies offering these policies, couples can make an informed choice. To select the best policy, compare life insurance quotes at the PolicyBachat website where you can compare multiple life insurance policies from multiple companies in just a few clicks.