Universal Financial Access - India
Make India an Inclusive Economic Superpower
Term Insurance in India - AEGON Religare
In India most consumers do not realize that the only life insurance they should consider buying is term insurance which just provides you risk cover and has no investment angle or return of premium component.
Most people should not self insure their lives especially if relatively cheap insurance options exist. if you or a family member do not have adequate insurance consider buying the cover you need for the term you need it for.
AEGON Religare has a policy called I-Term which you can only buy on the internet ( direct from company without an agent). this is much cheaper than competing policies from other insurance companies and even AEGON's agent based term policy. The difference in annual premiums range from 24%-83%. A 30 year old male pays Rs 5160 for a 30 lac sum assured 25 year term policy or Rs 172 per lac of sum assured (0.172%). Compared to the highest Rs 9425 the saving annually is over Rs 4000.
This is the first time in India that I have seen a financial service being cheaper on the web and with competition comparisons.
Term insurance is still high cost in India compared to the US. In the US I had bought a 10 year term policy when I was 42 for $660. Sum assured $750000. (0.088%). My wifes policy premium was half mine ( younger, female, better health). The AEGON policy is atleast two times more expensive than the US but still much better than the rest.
From a UFA perspective getting scale, competition and consequently lower costs for term insurance is vitally important as one of the major causes of a household that has emerged from poverty sliding back is death of an earning member . The traumatic impact can be mitigated by low cost term insurance.
Most people should not self insure their lives especially if relatively cheap insurance options exist. if you or a family member do not have adequate insurance consider buying the cover you need for the term you need it for.
AEGON Religare has a policy called I-Term which you can only buy on the internet ( direct from company without an agent). this is much cheaper than competing policies from other insurance companies and even AEGON's agent based term policy. The difference in annual premiums range from 24%-83%. A 30 year old male pays Rs 5160 for a 30 lac sum assured 25 year term policy or Rs 172 per lac of sum assured (0.172%). Compared to the highest Rs 9425 the saving annually is over Rs 4000.
This is the first time in India that I have seen a financial service being cheaper on the web and with competition comparisons.
Term insurance is still high cost in India compared to the US. In the US I had bought a 10 year term policy when I was 42 for $660. Sum assured $750000. (0.088%). My wifes policy premium was half mine ( younger, female, better health). The AEGON policy is atleast two times more expensive than the US but still much better than the rest.
From a UFA perspective getting scale, competition and consequently lower costs for term insurance is vitally important as one of the major causes of a household that has emerged from poverty sliding back is death of an earning member . The traumatic impact can be mitigated by low cost term insurance.
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