To understand how 'return of premium' works when it comes to term life insurance, you first need to know what the term life insurance is. Basically, this type of insurance is a life insurance you can purchase for a set duration or term--commonly 10, 15, and 20 years. Once that term has been exceeded, for life insurance plan is terminated.
When you opt for a 'return of premium' term life insurance plan, you will receive back all the money you paid into your policy over its life. For example, if you pay Rs. 10,000 in premiums every year for a 20-year premium term life policy, you will get a check for Rs. 200,000when you outlive your policy(after 20 years). Allthe premiums you have paid are effectively returned. Such a guarantee makes it a lot easier to provide your family the financial protection they deserve.
There are several return of premium term life insurance policies in India. One great example of a return of premium term life insurance policy that is available locally is the Tata AIA Life Insurance iRaksha TROP. This online term insurance plan is a great solution for protecting the income of the family which you will leave behind in case of your untimely death. It is a non-linked, non- participating insuranceplan that is designed to give you peace of mind not only because it gives your loved ones financial protection, but also because you know that the total premiums paid will be refunded to you in case you survive the policy term. This insurance gives preferential premium rates for female customers as well as non-smokers. You may also get a discount if you sign up for higher levels of protection. It is available to anyone between the ages of 18 to 65 years old, with a maximum maturity age of 75 years. Policy terms range from 10 to 30 years.
If you want to get quotes for the return of premium term life insurance, it's possible to get a quotation online right away and even compare premiums from different providers. If you are interested in riders, however, you may need to talk to consult directly with an insurance consultant/expert for a personalized policy.