It choosing the best life insurance plan can be a daunting task as each plan has its own pro and cons and each is quite difficult to comprehend at the first glance.

So, here’s a quick rundown of certain facts that you must consider to make the right purchase -

1. Time Period - It is one of the most important deciding factors in selecting the right indemnity plan. If you want a lifelong insurance plan which can see to your family’s well-being after your demise, then a whole life plan is the right choice. It offers a death benefit for as long as you are alive. You should look for a plan that offers you your Human Life Value, and includes a salary cover and loan reimbursements (if you require).

If you need a protection plan for a certain time period, you can go for term insurance. If you want to save some funds for your children’s education, then you can buy a 10-year term a life insurance plan with return of premium add-on.

To pay off your debts, you can buy a plan for that specific period. You can check out various other types of plans like ULIPS, Pension Plans, Money back plans, Endowment plans etc., based on the time-period and your needs.

It is recommended that you buy life insurance at a young age. You will be able to accumulate more saving that way.

2. Premium - If you want to buy just for investment or tax-saving purposes, then the premium is a crucial deciding factor. For example, the premium amount for endowment plans, Unit Linked Insurance Policies, and Whole life policies are on a higher side when compared to Term Insurance, Money Back Plans and Pension Plans.

It is important for you to know that if you are not able to pay the premium on time, your policy can lapse.

3. Dependents - If you are the only breadwinner of the family, buying a life insurance plan should be a priority for you. The reason is, in such a case, your family is dependent solely on your income, and nobody wants their loved ones to suffer due to loss of income in case of sudden death. Analyze the number of dependents and search for a plan that provides maximum coverage.

4. Evaluate the Sum assured of Insurance - Have a fair estimate of the assured amount of your life insurance policy, and then search online for different companies. However, do go through their plans, benefits, and limitations.

It might be confusing initially, but, if you follow the above-mentioned steps, you will have a clear picture in front of you. You can check out various life insurance companies on our site and then make the right decision.

5. Compare Life Insurance Quotations - Shortlist 3 to 4 companies after comparing them on our site, go to their website, click on the plan and ask for a quotation. Fill the application form with accurate information to get the exact details. After submitting the form, you will receive free quotations from the selected companies.

6. Choose the Best Life Insurance Company - Once you have received different quotations, compare all of them and choose the one that caters to most of your needs and preferences in terms of the policy period, budget, premium, and coverage.

7. Purchase Policy Online – Once you have selected a plan/company, you can make the purchase from their website. There might be certain formalities that you will need to fulfill which may vary from one insurer to another.

Some companies may require you to undergo pre-medical tests before the signing off. Whereas, some companies will also send you documents at home which you can sign and submit them to the company as per their rules and regulations.

It is so convenient to purchase a policy online. It is easy to search, compare, and get quotations online.

8. Keep it Safe - Your policy documents are no less than any other legal document that you possess. Always keep them in a safe place and make sure that the beneficiaries and your family members know about their whereabouts.