If you are looking to safeguard against being under-insured as time passes by, this plan is for you. In AEGON Religare’s Increasing Term Insurance Plan, the insurance cover amount increases every year to take care of the rising inflation and responsibility.
You should purchase this plan if you:
- Are single, but want to take advantage of low pricing
- Currently do not have a lot of financial liabilities
For instance, at inception the cover would be `50 lakhs and the Cover Amount increases by 5% for each year till it is equal to base cover. So, after 10 years the cover would be 75 lakhs. Tenure of this type of insurance is also not as liberal as the level term insurance and normally is 20 years. Further; there would be restricted riders that would be available. The premium would normally be higher than the other types of term insurance.