5 reasons to buy term insurance plan in your 30’s
Availing term insurance plans in your 30s helps you get a significant sum assured at affordable premiums. There are also lower chances of policy rejection.Sidharth Kapoor
Are you in your 30s and waiting for the right time to purchase term insurance? Well, the right time to buy insurance is now! Financial experts advise individuals to avail term insurance plans once they cross 30.
Generally, by the time you turn 30, you have a stable job, a family and some liabilities in form of loans to buy a home or car. Availing a traditional term life insurance will enable you to protect each penny you earn and protect your family against financial liabilities even in your absence.
Here are the top 5 reasons why you should purchase term insurance plans in your 30s:
1. Affordable premiums
During the pre-30 years of your life, you are at the peak of your health. But post-30, lifestyle diseases crop up as one starts experiencing aggravated levels of stress, low immunity to diseases and an overall decline in health. It’s mandatory to disclose health-related information and also appear for medical checkups while availing term plans.
Your age and health conditions play a vital role in deciding the life cover and payable premiums. A healthy and younger you translate into assuming lower risk on the insurer’s part while covering your life-risk and hence you will be offered lower premiums. The earlier you opt for a policy, the better it is.
2. Longer policy duration
Generally, term insurance plans have an age threshold as well as a definite policy term. For instance, with Protection Plans you can opt for a policy term up to 40 years. By availing an insurance plan early in your 30s, you will be able to enjoy a longer cover without having to worry about age limit or policy duration. Thus, you will remain covered till the time you’ve taken care of your major liabilities.
3. Lower chances of rejection
When you are in your 30s, more often than not, you have a stable job and have multiple productive years ahead of you. Hence, chances of your application getting rejected are lower than opting for term policies later in the later stage of your life.
4. Large sum assured
As there are fewer chances of pre-existing ailments in your early 30s along with a stable income, opting for a policy at this life stage entails a substantial sum assured. As you age, the body is more prone to ailments. In such a scenario, the chances of getting a large sum assured reduces. Even if your insurer provides substantial coverage, it would command hefty premiums.
5. A robust financial cushion
Buying a term life insurance in your 30s ensures you provide your family with a robust financial cushion in case of an eventuality. With a large coverage, at affordable premiums, it helps your family stay financially independent and address major life goals even in your absence.
Term insurance plans promise to payout a pre-defined sum assured in the event of the policy holder’s demise during the policy term. You can use an online term insurance calculator to calculate the coverage required and the premiums payable for securing the financial future of your dependents.