Life is uncertain, but we can protect our family’s future with the right planning. One of the best ways to do this is by buying term insurance. Today, many people prefer buying insurance online, and Policybazaar has become a popular platform for comparing and purchasing term plans.
In this blog, we will understand everything about Policybazaar term insurance in very simple language. You will learn its features, benefits, types, examples, and how to choose the best plan.
📖 What is Policybazaar Term Insurance?
Policybazaar is an online platform that helps you:
- Compare different insurance plans
- Choose the best policy based on your needs
- Buy insurance easily from home
Term insurance is a type of life insurance that provides financial protection to your family if something happens to you during the policy period.
👉 In simple words:
You pay a small premium, and your family gets a large amount (sum assured) if you are not there.
⭐ Key Features of Policybazaar Term Insurance
Here are the main features:
1. 💰 High Coverage at Low Cost
You can get coverage from ₹5 lakh to ₹20 crore at affordable premiums.
2. ⏳ Flexible Policy Duration
You can choose a policy term from 5 years up to 99 or 100 years.
3. 💳 Multiple Payment Options
- Monthly
- Quarterly
- Yearly
- One-time payment
4. 🧩 Customization Options
You can add extra benefits (riders) like:
- Critical illness cover
- Accidental death benefit
- Disability cover
5. 💻 Easy Online Process
- No paperwork
- Quick comparison
- Instant policy issuance (in many cases)
🎯 Benefits of Policybazaar Term Insurance
1. 👨👩👧 Financial Security for Family
Your family gets a lump sum amount to manage expenses.
2. 💵 Income Replacement
It replaces your income so your family can live comfortably.
3. 🏦 Loan Protection
Helps in repaying home loan, car loan, or personal loan.
4. 💸 Tax Benefits
You can save tax under
- Section 80C (premium paid)
- Section 10(10D) (claim amount tax-free)
5. 🔄 Return of Premium Option
Some plans return your premium if you survive the policy term.
📊 Types of Term Insurance Plans
1. Basic Term Plan
- Low premium
- No return if you survive
2. Return of Premium Plan (ROP)
- Higher premium
- Returns total premium if you survive
3. Increasing Term Plan
- Coverage increases over time
4. Decreasing Term Plan
- Coverage decreases (best for loans)
🧠 Understanding with Example (Important)
Let’s understand with a simple example:
Example 1: Basic Term Plan
- Age: 30 years
- Policy term: 30 years
- Sum assured: ₹1 crore
- Premium: ₹10,000 per year
👉 Total premium paid in 30 years:
₹10,000 × 30 = ₹3,00,000
👉 If the person dies during the policy:
Family gets ₹1 crore
👉 If the person survives:
No money is returned
Example 2: Return of Premium Plan
- Premium: ₹18,000 per year
- Policy term: 30 years
👉 Total premium paid:
₹18,000 × 30 = ₹5,40,000
👉 If the person survives:
₹5,40,000 is returned
👉 If death occurs:
Family gets ₹1 crore
📈 Riders (Extra Benefits Explained)
Riders are add-ons that give extra protection.
1. Critical Illness Rider
Pays money if you are diagnosed with serious diseases like cancer or heart attack.
2. Accidental Death Benefit
Extra amount is paid if death happens due to an accident.
3. Waiver of Premium
If you become disabled, future premiums are waived.
👥 Who Should Buy Term Insurance?
Term insurance is important for:
- 👨💼 Working professionals
- 👨👩👧 Married people
- 🏦 People with loans
- 👶 Parents with children
- 🧑🎓 Young earners
👉 Even students planning early financial security can consider it later.
🛒 How to Buy Policybazaar Term Insurance?
Follow these simple steps:
- Visit the website
- Enter your age, income, and details
- Compare different plans
- Choose coverage amount
- Add riders if needed
- Make payment
- Complete verification
🧮 How Much Coverage Do You Need? (Calculation)
A simple rule is:
👉 Coverage = 10 to 15 times your annual income
Example
- Annual income: ₹5 lakh
👉 Minimum coverage:
₹5 lakh × 10 = ₹50 lakh
👉 Ideal coverage:
₹5 lakh × 15 = ₹75 lakh
Advanced Calculation Method
Add:
- Family expenses (₹20,000/month → ₹2.4 lakh/year)
- Loan amount (₹20 lakh)
- Children education (₹15 lakh)
👉 Total required coverage:
₹2.4 lakh × 20 years = ₹48 lakh
- ₹20 lakh
- ₹15 lakh
👉 Total = ₹83 lakh (approx ₹1 crore recommended)
⚖️ Pros and Cons
✅ Pros
- Easy comparison of plans
- Affordable premiums
- Wide range of insurers
- Online convenience
- Quick process
❌ Cons
- Sometimes too many options can confuse
- Sales calls may feel pushy
- Claim depends on insurance company, not platform
⚠️ Common Mistakes to Avoid
- ❌ Choosing low coverage
- ❌ Not disclosing medical history
- ❌ Ignoring riders
- ❌ Buying only for tax saving
- ❌ Delaying purchase
👉 Tip: Buy early to get lower premiums.
💡 Tips to Choose the Best Term Plan
- Compare at least 3–5 plans
- Check claim settlement ratio
- Choose trusted insurers
- Select adequate coverage
- Add necessary riders only
❓ FAQs
Q1. Is Policybazaar an insurance company?
No, it is a platform to compare and buy insurance.
Q2. Is term insurance safe?
Yes, if you choose a reliable insurer and provide correct details.
Q3. What is the best age to buy term insurance?
The earlier, the better (20s or early 30s).
Q4. Can I buy term insurance online?
Yes, it is quick and easy.
Also Read: Star Health Assure Insurance Policy – Complete Guide
🏁 Conclusion
Policybazaar term insurance is a simple and smart way to secure your family’s future. It allows you to compare multiple plans, choose the best coverage, and buy insurance easily from home.
Term insurance is not an investment but a protection tool. By paying a small premium today, you can ensure that your loved ones stay financially secure even in your absence.
👉 Always choose the right coverage, be honest in details, and plan early for maximum benefits.