Introduction to Zero-Cost Term Insurance

Zero-cost term insurance is a new-age solution for those who want protection, flexibility, and value. This term insurance plan works just like a traditional term plan—but with a smart twist. If you don’t make a claim and survive beyond a pre-defined point, you can exit the plan and get your premiums back.

That means life cover when you need it, and your money back when you don’t.

Enjoy life cover today and reclaim your money later if you exit early.

This policy provides a pre-defined life cover term, during which your family is financially protected in case of your unfortunate passing. But unlike traditional term plans, you get a refund of premiums if you exit the policy at a certain milestone.

• Fixed exit option: After a certain number of years, you can exit and claim your total premiums back (excluding taxes and charges).

• Coverage assurance: Your family receives the sum assured if something happens during the active term.

• No-claim bonus in disguise: You retain financial value even if the policy isn’t claimed.

• Slightly higher premiums: The refund feature means premiums are higher than standard term plans—but it adds a layer of flexibility and value.

Looking for plans with refund options? Compare term plans and check your premium in seconds – Get Quote!

Zero-cost term insurance comes with a few eligibility criteria based on age, health, and financial profile. Here’s what most insurers look for:

• Age limits: Most insurers offer zero-cost term insurance to individuals aged between 18 and 65 years —buying younger keeps premiums lower.

• Health condition: A medical check or health declaration is often required to assess risks.

• Steady income proof: Income documents ensure you can afford regular premiums without interruptions.

• Policy term and premium payment: You need to choose a suitable term, usually 20–40 years, depending on insurer options. Pay premiums regularly to qualify for the refund benefit.

• Minimum coverage: Insurers may require a base coverage level (e.g., Rs. 50 lakh or Rs. 1 crore) for zero-cost features.

Checking with your insurer for specific eligibility details is crucial, as criteria may vary across providers.

Zero-cost term insurance offers more than just basic coverage. It's ideal for people who want both financial protection for their family and value from their premiums.

Comprehensive protection and flexibility:

• Refund of premiums: If you opt out at the designated time, you get your premiums back, making it a no-loss proposition.

• Refund on early exit: Walk away with your premiums if you outlive the plan and choose to exit at the designated point.

• Life cover assurance: If anything happens during the policy term, your family receives the full sum assured.

• Customised coverage: You can select the duration, coverage amount, and exit timeline that suit your goals.

• No sunk cost: Ensures you do not lose the money invested in premiums, even if you survive the policy term.

• Tax savings: Policyholders can avail of tax benefits on premiums paid under Section 80C of the Income Tax Act, making it a tax-efficient choice.

These features make zero-cost term insurance an excellent choice for those seeking comprehensive financial protection and peace of mind.

Get protection, flexibility, and value—all in one plan. Explore plans and premiums to get a quote in a few seconds!

Premiums for zero-cost term insurance are calculated based on several factors. Understanding these factors can help you make an informed decision:

Key considerations:

• Age: Younger applicants enjoy lower premiums due to lower risk.
• Health condition: Medical history and lifestyle habits such as smoking significantly affect premium rates.
• Policy term: Longer terms may lead to higher premiums due to extended coverage.
• Sum assured: A higher coverage amount results in increased premiums.
• Exit point selection: Opting for an earlier exit may raise premium costs, as the insurer assumes a higher refund risk.

Being transparent during the application process and maintaining a healthy lifestyle can help you secure competitive premium rates.

Zero-cost term insurance is ideal for people who want life cover but are hesitant about “losing money” if they survive the policy. It’s perfect for:

Suitable candidates:

• Young professionals: Those starting their careers and looking for flexible insurance options can benefit.

• Families with dependents: Policyholders with dependents can ensure financial security without losing premiums.

• Uncertain long-term commitments: If you are unsure about committing to a long policy term, this plan provides an option to exit early.

• Tax-conscious investors: For individuals seeking tax-saving instruments with flexibility, zero-cost term insurance fits well.

This policy works best for those who prioritise flexibility, value for money, and comprehensive coverage in their financial planning. Get a quote today!

Zero-cost term insurance blends the strength of life protection with the comfort of refunding your premiums. It’s ideal for those who want peace of mind, financial flexibility, and value from every rupee spent.

Don’t settle for coverage that gives you nothing back—explore zero-cost plans today and safeguard your tomorrow with more confidence. Get Quote!

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