Investing in the right insurance plan is the need of an hour. If you are getting married or planning to start a family, you will have an additional responsibility on your shoulders. With this, your financial goals will also change. Therefore, it is essential to secure the monetary future of your family against the uncertainties of life.
Managing a family’s financial aspects is a task, and it requires adequate planning. Traditionally, Indian households had a single earning member who controlled the expenses and was the sole decision-maker regarding the finances. Over a period, there has been a paradigm shift in the thinking pattern of people. Today, even women have a say in financial matters. Thus, it is necessary to ensure the financial stability of the family, and a term insurance policy is an ideal investment avenue to accomplish this objective.
Many people feel that only working professionals need to safeguard themselves with an insurance policy. However, this is not true, as even dependent and non-earning family members need coverage, you never know about the future. A term plan for wife and husband can act as a safety net and allow them to guard their long-term financial goals.
As per the guideline laid down by the Insurance Regulatory and Development Authority of India (IRDAI), only a working professional can procure a term plan for his or her partner. However, now, specific insurance companies have eased this rule and have introduced particular term life policies for homemakers.
Understanding spouse term insurance
A spouse term plan is a policy, which is designed only for a married couple. It is a comprehensive plan that provides many benefits for the married couple. Before investing in any insurance policy, it is vital to know more about its offerings, and duration, among other aspects.
Advantages of a term plan for the couple
As stated earlier, insurance is extremely crucial at every life stage, especially when you are married. Here are some plus points of a term insurance policy that you should know before investing.
Large sum assured
One of the significant term insurance benefits is the high sum assured. It is important to ascertain the right sum assured that can protect your family’s financial interest, especially when you will be longer around. In the case of a spouse term plan, the children can receive a substantial sum assured if they are appointed as nominees of the policy. In this case, if the policyholder passes away, the nominees receive the sum assured.
You need to pay premiums for any insurance policy that you invest in. Whether it is monthly, quarterly, or yearly, you need to calculate the premiums, and then invest in a comprehensive term plan that offers benefits for both wife and husband. In the case of spouse term insurance, the premium is cheaper, and it is better to invest in one term life policy rather than having two separate insurance plans for both spouses.
- Premium waiver
Due to any circumstances, if any of the partners dies, the other partner benefits from a premium waiver. In simple terms, it means that the insurance policy remains valid, and the other partner does not have to pay premiums regularly and can enjoy the advantages of the insurance policy.
It does not matter whether you are a working professional or a homemaker; life insurance coverage is essential. Before you buy a spouse term insurance plan, you must understand all the necessary terms and conditions, features, benefits, eligibility, term insurance age limit, and other criteria. Having sound knowledge of all the factors will help you in making an informed decision.