first bank  

Don’t fall for these dangerous myths when buying a term insurance plan online

life insurance
(© Jo Panuwat D –

Term insurance plans carry a plethora of rules and regulations that can be hard to follow. Along with the rules, the technical terms can misguide anyone. These difficulties give rise to misconceptions and myths that have been prevailing in both offline and online formats. They also give people second thoughts while getting an online term plan.

Being aware of these myths is the best way to assure that you get an online term plan that is the most cost-effective and provides you with advantages and benefits that can protect your future. Here are the most prominent myths and misconceptions that insurance seekers should know about getting the most economical solution for financial cover.


Most people believe that if a term plan does not offer any additional returns, then it is not a worthwhile investment. However, an online term plan provides the highest life coverage at minimal premiums. It provides extensive protection to you and your family for the future, without putting a financial burden on you in the present.

For instance, you can get a 1 crore term insurance plan with a monthly premium of INR 500. Even if there are no additional returns, the rider benefits and return of premium make it an assured investment.

Group life insurance

Some companies and businesses ensure that their employees have group life insurance. This plan can also add to the benefits and provide you with a better financial net in the future. However, the sum assured under the group life insurance may not be enough for you to support your family.

The sum assured of the group life insurance will need to be divided among all the employees. Some of the policies do not provide full coverage as well. Thus, to ensure that your family is fully covered, you need to get an additional personal term plan.


It is a major myth that you can not increase the number of your premiums during the tenure of your online term plan. For example, if you get a term plan at the age of 25 with a monthly premium of INR 500, you will have to pay INR 500 for the complete tenure.

However, the truth is, when your income has increased, and you can afford to pay a larger premium, you can revise the terms of the plan and increase the premium. Thus, you can get more benefits and a higher assured sum by modifying the terms of your plan during the tenure of the plan.


Another myth that is believed by a lot of people is that if you buy a term insurance plan too early in life, then there are not many benefits. However, getting an online term plan early in life can get you the cheapest and most affordable monthly premiums. The premiums will also amount to a much larger assured sum.

There is also a misconception that getting a term plan late in life is not worthwhile. Even if you get a plan at the age of 40 or 50, you can get a ₹ 1 crore term insurance with a premium of INR 10,000 to 15,000. Also, at this age, a higher premium is affordable, making it possible for one to get a high amount as a sum assured.

Don’t let these above stated misconceptions cloud your mind towards taking an important step for yourself and your family members.

Term insurance plans are more than just a step towards ensuring financial security for your family. They are the safety net that plays a crucial role in critical moments. And buying an online term insurance plan has never been easier than now.

Let’s take a quick look at the range of benefits and offers they cover.

Online term plan

With the world turning to online methods, people are still unsure of getting an online term plan. They believe the process will be complicated and deem it to be un-trustworthy. The truth is that online term plans are one of the easiest ways one can sign up for a term insurance plan.

Not only is it hassle-free, but it also allows you to browse through different options and compare all the plans. You can get an online term plan with just a few clicks after submitting your documents and bank details. The application process is minimal and quick.


Different people are bound to have different needs. One plan cannot fit everyone and cannot cover the financial needs of every family. Most people turn away from term insurance because they believe that the plans cannot be changed or customized to fit their needs better. However, most term plans are customizable with additional riders.

One can combine their basic plan with various add-ons that can provide better coverage to the policyholder as well as their nominees. These add-ons provide protection against sudden and critical illnesses, untimely death of the policyholder, accidents, disability, etc. These riders can also provide a waiver of premiums and additional benefits that can be received at the end of the term.

Everyone needs insurance

Insurance provides protection against future events and gives your family financial safety. It is a great way to secure your future. However, it is not necessary. If you have a spouse, parents, children, etc., dependent on you financially, then getting an online term plan like iSelect Star Term Plan is a smart idea and a great way to invest money. However, if you have no one dependent on you financially or if you live alone, then you need not invest in a term insurance policy.

Death benefits

Most people also believe that term insurance plans are only useful if the policyholder dies. They do not provide any benefit if the insured survives the term of the plan. The truth is that life insurance and term plans cover various benefits that can be chosen based on your goal of getting a term insurance plan.


If you need post-retirement financial protection, then you can get a term plan like POS-Easy Bhima Plan that provides maturity benefits. Endowment plans, return on investments, ULIP, etc., are multiple forms of term insurance that you can consider based on your future financial needs.

When you are considering buying an online term plan, it is better that you inform yourself about the details and technicalities of the plan. Not only does knowledge help you solve your doubts and misconceptions, but it can protect you against fraud as well.

Augusta Health Augusta Free Press Kris McMackin CPA
augusta free press news
Augusta Free Press