Insurance Blog

What is Term Insurance

Term insurance is the purest form of insurance, in which the insured person will not get any maturity benefits if he/she survives the policy term. Consider if a person takes a term insurance plan for a period of 20 years. He has to pay the premium for the 20 years based on the premium payment mode chosen. If the person survives till the end of the 20 years, he would not get any money back. Else if the person expires before the completion of that 20 years, then the insurer would provide the sum insured to the nominee and the policy would be closed.