Home >Insurance >News >Five points to keep in mind while buying life insurance during covid times

Term insurance and health insurance have become the go to products. While there have been recent medical advancements towards effective covid 19 vaccines, there is still uncertainty of a successful roll out on a national scale. This requires people to be equally prepared in the unforeseen future. To further enhance protection from the ongoing pandemic, you may go for a critical illness cover.

"A critical illness benefit is important given the prevailing uncertainty due to the pandemic. Besides, incidences of lifestyle-related illnesses too are on the rise," says Amit Palta, Chief Distribution Officer, ICICI Prudential Life Insurance.

A comprehensive protection is a must to deal with uncertainties in life. Not only for your own self, insurance will help release financial burden for the whole family.

"This pandemic has made most individuals realize the need for financial protection. The prevailing uncertainty has made it necessary for one to secure the future for themselves and their families. Currently insurers are innovating with products which offer the combined benefits of term insurance and corona cover where both the individual as well as the family are protected, says Suresh Badami, Executive Director - HDFC Life.

The ongoing pandemic has created awareness not only for the health insurance but for the need of life insurance as well. Suresh Badami shares five most crucial things to keep in mind while purchasing life insurance.

1) Ensure adequate life cover: Foremost, the term plan should enable the family to manage liabilities and have a source of income in the absence of the breadwinner. Do your math right to reach at the insurance figure you would need for your family to be financially independent in the worst scenario.

2) Timely renewal: Do not miss paying premiums for an uninterrupted protection. Ensure the policy is in force so that the benefits continue, setting up an ECS/ standing instructions is the easiest way to ensure timely payments.

3) Nomination: Ensure there is a nominee for the policy who will get the proceeds in the absence of the policyholder. Also, you must inform the nominee and other family members about your insurance cover. Your nominee should always be aware of your financial plan to take required action just in case.

4) Opt for 'self service': Most life insurers offer a self service option which makes it easy to manage the policy, no need for branch visits. Also, the digital platform purchasing and servicing life insurance has become easy and can be done from the convenience of one's home.

5) Continue your policy: Financial security is of great importance during uncertain times, hence one needs to continue their existing policy. In case of a financial emergency, one can avail the loan or partial withdrawal facilities available with certain policies.

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