Should a housewife have a term insurance?


RAKESH GARI

Q:
I want to purchase a term policy. My age 40 year (DOB 28/12/1970) and PA income is seven lacks and working in govt. under taking company. I have a small family and my liability is my wife and one daughter (2 year). As the need of money for my family after 25 and 30 years from today (in case while I am not alive), I want to purchase a term policy of either 25 lacks or 30 lacks for 30 year term. On my search I found term policy available in market are:-
1) Kotak life – Term plan :- For that plan SA 25 lacks and policy term 30 year and cover three rider are (a) Critical illness/ Dread disease (b) Accidental death (c) Accidental or permanent disability premium for that policy is Rs 8208/- PA.
2) ICICI Pru life – i protect-I :- For that plan SA 25 lacks and policy term 30 year and cover only death (not accidental death) premium for that policy is Rs 8775/- PA.
ICICI Pru life – i protect-I :- For that plan SA 30 lacks and policy term 30 year and cover only death (not accidental death) premium for that policy is Rs 8130/- PA. (All above data found from premium calculator available in Kotak insurance and ICICI Pru. Insurance web site)
Question :-
My first question is “ can it is possible in ICICI Pru life – i protect-I plan for SA 25 lacks premium is more than SA 30 lacks policy premium for same policy term and no extra/ additional rider”.

Second question is which policy is better as above two policy (Kotak life – Term plan and ICICI Pru life – i protect-I plan)

Next question is what documents are required for claiming the policy. And what difficulty facing while claming the policy because I want no hassle while claming the policy.

My last question can I take term policy for my wife she is housewife.

Ans:
Icici Prudential iProtect is one of the cheapest term plans in the market. The accidental rider benefit is a good option too. Yes it is possible that the premium for 30 lacs cover without rider is less than the 25 lacs cover with rider because riders are a little expensive.

In a term plan there isn’t much comparison but going by the premium rate, ICICI works out to be cheaper than Kotak term plan.

To ensure that the claim process goes smoothly, one must keep the policy document at location known to other family members. The name of the nominee should be clearly mentioned in the policy document. At the time of claim the nominee must carry a valid identity proof, policy document and a death certificate of the insured.

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