HDFC Life Term Insurance vs LIC Term Insurance
A term insurance plan safeguards your family’s financial future in your absence. It ensures them with much-needed financial assistance during their uncertain times such that they can sail smoothly without compromising on their existing lifestyle. However, the availability of multiple-term plans in the market makes it quite challenging to choose the right term insurance plan based on your requirements. Therefore, to make the right choice of term plan, you should thoroughly go through the features and benefits of various term plans. Here are the details of the term plans offered by HDFC Life Insurance and LIC to help you know their offerings.
Term Insurance Plans by HDFC Life Term Insurance vs LIC Overview
|Parameters||HDFC Life Term Insurance||LIC|
|Number of Term insurance plans||3||2|
|E-services||Buying policy, policy renewal, update information, premium payments, and claim settlement||Policy buying online, premium payment online, tracking and registering for claims|
|Claim settlement ratio||99.07%||96.69%|
Term Insurance policies – HDFC Life Insurance vs LIC
HDFC Life Insurance needs no introduction; it’s a well-known insurance provider in the insurance sector. The company started its operations in the year 2000 and has marked its presence through its various branch offices across the country. The leading insurer offers different life insurance products, including term insurance plans, retirement plans, savings, investments, and child plans.
Life Insurance Corporation (LIC) is India’s oldest life insurance provider, holding the largest market share. The insurer boasts decades-old quality and exceptional customer service with its array of customer-focused insurance products, including life insurance, term plan, retirement plans, child plans, savings, and investment plans.
You can compare HDFC Life term plans, and LIC term plans on various parameters mentioned below to choose the right term plan.
Term Insurance Plans by HDFC Life Insurance vs LIC
HDFC Life Term Insurance Plans
- The 3 different term plans from HDFC Life Insurance – HDFC Life Click 2 Protect Life, HDFC Life Click 2 Protect Plus, HDFC Life Click 2 Protect 3D Plus are carefully designed to fulfill varied customers’ requirements.
- HDFC Life term plans are flexible, offering premium payment options, payout choices, and rider benefit options, such that the insured can opt for as per their preference and convenience.
- Moreover, HDFC Life Insurance offers low premiums to the policyholders who maintain a healthy lifestyle.
Why choose HDFC Life Insurance Term Plans?
- HDFC Life Insurance term plans are affordable and comprehensive financial protection plans catering to the varied needs of people.
- HDFC term plans are flexible to be customized as per the insured’s requirements as these provide different premium payment modes, coverage options, and payout choices.
- HDFC term plans also offer MWPA enrollment benefits, which guarantees that your relative’s death benefit amount is safeguarded.
- The company boasts a high claim settlement ratio, ensuring itself a reliable partner and hassle-free claim settlement process.
LIC Term Insurance Plans
- LIC offers 2 different term insurance plans – LIC Tech term plan and LIC Jeevan Amar, carefully designed to meet customers’ requirements.
- The term plans are non-linked, non-participating, and completely risk-proof.
- LIC term plans offer flexible options to choose from different premium payment options – single premium, limited premium, regular premium as per your preference and convenience.
- The term plans are available at discounted premiums for female policy buyers and non-smokers.
- LIC term insurance plans offer rider benefit options to help you broaden the scope of your existing policy coverage.
Why choose LIC Term Plans?
- LIC term plans offer pure protection plans at affordable premium rates.
- The term plans come with the flexibility to pick your desired sum assured amount as per your requirement.
- Individuals between the age groups of 18-75 years are eligible to buy LIC term plans.
- LIC is known for quality services and offers an easy and hassle-free policy buying and claim settlement process.
What are the documents needed while buying HDFC Term insurance plan online?
The documents needed for buying HDFC Term insurance are:
Photo ID Proof (PAN card, voter ID card, Adhaar card, driver's license, passport)
Age Proof (birth certificate, PAN card, voter ID card, college/school leaving certificate, driver's license, passport)
Address Proof (Voter ID card, electricity bill, passport, telephone bill, ration card, bank account statement, utility bill)
A recent passport size picture
Income Proof (salary slip, Form 16, ITR/assessment order, employer's certificate)
Can I surrender my HDFC term insurance plan?
Yes, you can surrender your term insurance plan in case you think your liabilities are over.
Which kind of deaths are not covered under term insurance?
Suicidal deaths are not covered in the first year of the term plan. However, term insurance plans cover all deaths due to accidents, illness, murder, and natural calamities.
What are the minimum and maximum entry ages for LIC term insurance plans?
The minimum entry age for LIC term insurance is 18 years, and the maximum is 65 years.
Why should I opt for LIC term insurance plans?
LIC term insurance plans are comprehensive plans offering high life coverage at an affordable price range. These term plans provide financial protection to your loved ones in your absence. You can even enhance the policy coverage by adding riders to the base plan.
Do term insurance plans offer HDFC Life Insurance and LIC comes under tax exemptions?
Yes, term insurance plans by HDFC Life Insurance and LIC are eligible for tax benefits for the premiums paid under section 80C of the Income Tax Act, 1961.
Do LIC term insurance plans offer a free-look period?
Yes, LIC offers a 30 days free-look period from the date of policy issuance within which the policyholder can return or cancel the insurance policy if they are not satisfied with the term insurance policy.
How much time is taken for claim settlement under term insurance?
According to the Insurance Regulatory Authority of India (IRDAI), all claims reported need to be settled within 30 days of receiving all the required documents. If any further investigation is needed, the claim is settled within 120 days from receiving the required documents.