How to increase cover option in term life insurance policy

1.Inflation and upgrades in lifestyle requires one to increase life cover to ensure sufficient amount for the family in case of premature death of the earning member.
2.A term insurance with an increasing cover feature will automatically increase the coverage amount until it reaches the maximum limit.
3.There are different modes to increase the cover based on percentage increase, the maximum cover aimed for, or an end-age.
4.The Premium is same throughout the policy tenure but is higher than the pure term plan because of the increasing cover.
5.There is no need for new documentation or medical tests to be done again.



Content on this page is courtesy Centre for Investment Education and Learning (CIEL).
Contributions by Girija Gadre, Arti Bhargava and Labdhi Mehta.