- High coverage at a low premium
- Financial protection for your family’s future
- Tax benefits up to Rs. 46,000`` under Section 80C and 10(10D)
- Dedicated claim assistance
- Customisable plans to suit your needs
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People’s trust in Bajaj
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10 million+
Customers
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3
Insurance partners
In summary
Key takeaways:
- Protects your family's financial future irrespective of market performance.
- Provides a lump sum payout that can help cover loans, education costs, and daily living expenses.
- Helps your family avoid selling investments during unfavourable market conditions.
- Supports long-term financial planning by covering future financial responsibilities.
- Offers high life cover at affordable premiums.
- Eligible premiums may qualify for tax benefits as per applicable tax laws.
While your equity investments focus on growing your wealth, term insurance focuses on protecting your family's financial future. Explore term insurance plans and compare coverage options to choose one that suits your financial goals.
Why is term insurance important for equity investors?
Importance of term insurance
Some key benefits include:
- High life cover at affordable premiums.
- Fixed death benefit throughout the policy term.
- Financial support even if equity markets decline.
- Helps pay home loans, education costs, and daily household expenses.
- Reduces the need to sell investments during unfavourable market conditions.
- Supports long-term financial planning with reliable protection.
Rather than replacing your investments, term insurance strengthens your overall financial plan by protecting your loved ones against uncertainties.
As your investment portfolio grows, your protection needs may also increase. Get a quote to explore coverage that complements your long-term financial goals.
How does term insurance help balance market risks with life cover?
Here's how term insurance helps balance market risks:
| Benefit | How it helps |
|---|---|
| Fixed life cover | The sum assured remains unchanged regardless of market movements. |
| Financial security | Your family receives the death cover even if your investments lose value. |
| Protects investments | Helps avoid selling equity holdings during market downturns. |
| Covers future goals | Supports education, home loan repayments, and regular living expenses. |
| Additional protection | Optional riders such as critical illness or accidental death cover can enhance your coverage. |
With a suitable term plan in place, you can stay focused on your long-term investment strategy while knowing your family's financial future is protected.
Compare plans to find a level of protection that works alongside your investment portfolio. Get quote!
What is the ideal term insurance coverage amount for investors?
Consider these factors while deciding your coverage amount:
- Outstanding home, personal, or business loans.
- Children's future education and marriage expenses.
- Retirement planning for your spouse or dependants.
- Income replacement for several years.
- Inflation and rising living costs.
- The size and risk profile of your investment portfolio.
Review your coverage periodically, especially after major financial milestones such as marriage, purchasing a home, having children, or significantly increasing your investments.
Assess your coverage needs regularly to ensure your life cover keeps pace with your financial goals. Get quote!
What are the term plans with investment-friendly features?
If you're looking for both life cover and wealth creation, you can consider other insurance products that combine protection with investment benefits.
| Insurance option | What it offers | Best suited for |
|---|---|---|
| Pure term insurance | High life cover with no investment component | Protecting your family's financial future at an affordable premium |
| ULIPs (Unit Linked Insurance Plans) | Life cover along with market-linked investments in equity, debt, or hybrid funds | Long-term investors looking for insurance and wealth creation |
| Term insurance with Return of Premium (TROP) | Life cover and a refund of eligible premiums if you survive the policy term (subject to policy terms) | Those who prefer getting back premiums instead of a pure protection plan |
Some insurance products also offer features such as optional riders for critical illness or accidental death cover. These enhance your protection but do not convert a pure term insurance plan into an investment product.
If your priority is maximum life cover at an affordable premium, a pure term insurance plan is generally the better choice. If you also want to grow your money over the long term, you may explore ULIPs or other investment-oriented insurance products based on your financial goals.
Not sure whether you need pure protection or a plan that combines insurance with investments? Compare your options to choose the cover that matches your financial goals through Bajaj Finance Insurance Mall.
Conclusion
For equity investors, term insurance is an important part of a balanced financial plan. While your equity investments focus on building wealth over the long term, a term insurance plan helps protect your family's financial future if an unexpected event occurs.
Choosing an appropriate sum assured can help your loved ones manage outstanding liabilities, household expenses, and future financial goals without depending on market conditions or selling investments during a downturn.
If your priority is pure financial protection, a term insurance plan offers high life cover at affordable premiums. If you also want an insurance product with market-linked investment opportunities, you can explore options such as Unit Linked Insurance Plans (ULIPs) separately based on your financial goals and risk appetite.
Together, long-term investing and adequate life insurance can help you create a financial strategy that balances wealth creation with financial security.
Explore more and stay informed
Frequently asked questions
Term for equity investor
Why should equity investors consider term insurance?
If you invest in equities, term insurance protects your family's financial future regardless of how the stock market performs. The policy pays a lump sum to your nominee if you pass away during the policy term, helping them manage loans, education expenses, and daily living costs without relying solely on your investment portfolio.
How do you decide the right sum assured as an equity investor?
You should calculate your outstanding liabilities, expected future expenses, income replacement needs, and long-term financial goals. Your coverage should be sufficient to protect your family without requiring them to sell investments during unfavourable market conditions. Reviewing your sum assured regularly helps keep it aligned with your changing financial responsibilities.
Does term insurance offer investment-linked options?
No. Pure term insurance plans are designed to provide life cover and do not include investment or market-linked benefits. If you want both insurance and investment in a single product, you can consider a Unit Linked Insurance Plan (ULIP), which combines life cover with market-linked investments. You may also explore a Term Insurance with Return of Premium (TROP) plan if you prefer receiving eligible premiums back on surviving the policy term, subject to the policy's terms and conditions.
Can you add riders to your term insurance plan?
Yes. Depending on the policy, you may be able to enhance your protection by adding riders such as critical illness cover, accidental death cover, or disability-related benefits. These riders provide additional financial protection beyond the base life cover and can be selected based on your individual needs.
Can term insurance protect my family if my equity investments lose value?
Yes, but indirectly. A term insurance plan does not protect your investments from market losses or compensate for a decline in their value. Instead, it protects the family's financial future by providing a fixed lump sum payout if the policyholder passes away during the policy term. This financial support can help your loved ones manage expenses, repay loans, and avoid selling equity investments during unfavourable market conditions, giving them more flexibility to stay invested for the long term.
