Life insurance is a contract between an individual (insured) and the insurance company (insurer). The insured person pays a predefined amount in the form of premiums either in regular intervals or in a lump sum.
On the other hand, the insurance company promises to pay an assured amount at the end of the policy term to the insured person or his nominee. If the insured person passes away during the policy tenure, the insurance company will offer a lump sum amount to his/her nominee.
The main purpose of life insurance is to provide financial security to the family of the insured person in case of his/her unfortunate death. Hence, before finalizing the life insurance plans, the applicant needs to analyze his/her financial situation.
You should choose the life insurance plan based on your needs and goals. You can calculate your financial needs and goals with the help of many online life insurance calculators. These calculators are available on insurance aggregator websites. Before making the final decision, it is always advisable to take into consideration major life events like marriage, the birth of kids, buying a house, etc.
Term insurance and whole life policy are major policies among many other types of life insurance policies. The term insurance will provide the insured person with protection for a set period. On the other hand, a whole life insurance policy provides lifetime coverage of the insured person.
Types of Life Insurance Plans
There are many best life insurance plans, which are available in the market. Let us consider the coverage offered by different life insurance plans.
1. Term Insurance Plan
The most basic type of life insurance is the term insurance plan. This plan offers only risk cover. This plan is very affordable as the premium is cheaper in comparison to other insurance policies. The nominee gets the assured sum in case of the death of the policyholder. This plan does not offer a maturity benefit if the policyholder outlives the policy term.
2. Endowment Plan
Endowment plans help the policyholder to save along with the benefit of life insurance. The premium is comparatively higher as compared to other insurance policies. This is because it offers both maturity and death benefits to the policyholder. This plan also provides tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, of 1961.
3. Unit Linked Insurance Plan (ULIP)
ULIP gives you the double benefit of insurance and investment. ULIP provides both death benefits as well as maturity benefits. ULIPs are based on market performance. The policyholder can choose investment avenues like stock, debt markets, or mutual funds.
4. Whole-Life Insurance Plan
The name Whole Life Insurance itself makes it clear that the insurance coverage is for the whole life of the policyholder. It is valid till the policyholder pays the premiums. In case of the untimely death of the policyholder, during the policy term, the specific predetermined amount will be paid to the nominee.
5. Money Back Insurance Plan
Money Back Insurance Plan provides periodic payments during the policy plan. This plan offers both maturity and untimely death benefits. The policyholder also enjoys tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961. As these plans provide the benefit of regular liquidity, the policyholder can plan his short-term goals to fund his child’s education, wedding expenses, etc.
Also Read: Best PNB MetLife Insurance Plans in India
Best MAX Life Insurance Plans in India 2024
Max India Limited and Mitsui Sumitomo Insurance Company Limited ventured jointly to form Max Life Insurance. Max Life Insurance is one of the top-ranking life insurers. It was established in 2000 in India and began its operations in 2001. The company’s headquarters are in New Delhi.
Max Life Insurance has a vast network of 210 Offices in 143 cities. The percentage of claims paid is 98.26%. The sum assured is 511,541 crores. Assets Under Management (AUM) is 52,237 crores. It has more than 9000 employees and almost 50,000 advisor base.
Max Life Insurance offers long-term savings, protection, and retirement solutions. Max Life Insurance helps you to secure your family’s financial future, whether you are there or not. Under Section 80C of the Income Tax Act, 1961, life insurance premiums (up to Rs. 150,000 per annum) are exempted from tax. Moreover, under Section 10 (10D) there is a total exemption of claim amount or bonus. These Plans give extensive coverage for low premiums to the insured.
Max Life Insurance provides custom-tailored insurance plans to suit your changing needs. Let us go through their insurance plans so that you can choose the most suitable plan.
1. MAX Life Term Insurance Plan
Max Life Insurance Term Plans help you to secure your family’s financial future, even in case of any unforeseen eventuality.
The following are some important benefits of best-term insurance plans:
- Term Insurance Plan provides large life insurance coverage at affordable prices.
- This plan offers tax benefits on premiums paid and also the payout received.
- This plan also helps you during critical illness.
- This plan also provides income if there is a loss of income due to any accidental disabilities or illness
The term life insurance plans which are offered by Max Life Insurance Company are:
Basic Life Cover, Basic Life Cover plus Monthly Income, Basic Life Cover plus Increasing Monthly Income, Max Life Super Term Plan, and Max Life Premium Return Protection Plan.
2. MAX Life Health Insurance Plan
Max Life Health Plans help you to prevent an unexpected medical emergency from turning into a financial emergency. It helps you to ensure that your family is protected by covering the medical expenses during hospitalization or critical illness. You can also get tax benefits on health insurance premiums.
The health plans offered by Max Life Insurance Company are Max Life Cancer Insurance Plan, Max Life Super Term Plan, and Max Life Premium Return Protection Plan. Let us know the main points of these plans.
- Max Life Insurance Cancer Plan:
- This cancer plan covers all stages of cancer.
- The minimum entry age is 18 years and the maximum is 65 years.
- To cover the medical cost of treatment across all stages, lump-sum payouts are made.
- Waiver of all premiums for the entire policy term if diagnosed with Early Stage Cancer
2. Max Life Super Term Plan:
- The minimum age of entry is 18 and the maximum age of maturity is 75 years.
- The maximum age of entry is 65 years.
- Flexibility to choose whether you want the death benefit payment as a single lump sum payout or lump sum along with a monthly payout.
- Flexibility between policy terms with range starting from 10 to 35 years.
- Choice of the benefit of accidental death, the addition of riders, and a premium plus Max Life waiver.
3. Max Life Premium Return Protection Plan:
- The minimum entry age is 21 and the maturity age is 75 years.
- The protection plan is built with an accidental death cover.
- Policy terms can be chosen for 25, 25, or 30 years.
- The premium payment term is 11 years but enjoys lifetime benefits
- Tax benefits on premium paid and also policy benefits.
3. Max Life Insurance Child Plans
Max Life Child Insurance Plans have been specially customized to address your child’s future financial needs, even in your absence.
A child insurance plan is a combination of insurance and investment that ensures a secure future for your child. You can create a corpus to fund your child’s education if he/she is between the ages of 0 to 15 years.
Types of Max Life Insurance Child Plans
- Future Genius Education Plan
Parents can fulfill their child’s higher education costs through disciplined savings by investing in the Max Life Future Genius Education Plan. Depending on the education needs of their child the insurance plan provides flexibility to parents to choose premium payment terms, policy terms & the timing of money backs. This Plan also helps the parents to provide financial security to their child during emergencies.
2. Max Life Shiksha Plus Super
To secure a fund for your child’s future education invest in Max Life Shiksha Plus Super Plan. This plan offers insurance and flexibility to invest in the equity market with multiple fund options. This plan also provides financial security to your child during emergencies. Investment in this plan helps you to meet your child’s higher education costs and future expenses.
4. Max Life Insurance Retirement Plan
Retirement Planning provides a stable source of income even after you stop working. Max Life Insurance provides one of the best retirement plans in India which will help you to meet your post-retirement financial needs.
This is a disciplined, affordable, and secure way to plan your retirement. This plan can also protect your family, along with your retirement savings.
Among the pension plans, you can purchase from Max Life Insurance are the Max Life Forever Young Pension Plan, Max Life Guaranteed Lifetime Income Plan, and Max Life Perfect Partner Super Plan.
5. Max Life Insurance ULIP Plan
If you want to reap the benefit of investing along with life insurance, then ULIPs are your option. Max life insurance ULIP plans provide you with an opportunity to invest in stocks, bonds, or mutual funds. This helps for multiplied growth while providing you with a protection cover. ULIPs give you flexibility in your investment planning. ULIPs allow you to safely balance your fund with stocks, bonds, and mutual funds. You also have an option to switch as the market changes.
You can make a smart decision if you invest in a ULIP for the long term because:
- It is a safe and secure investment along with healthy market returns.
- It is flexible for you to make changes to funds so that you can secure your money from market ups and downs
- It helps you to save tax on your investments and returns
- It also provides life cover to protect your family
- If you want growth with protection on your money
- Transparency of your investments.
The unit-linked insurance plans offered by Max Life Insurance include the Max Life Fast Track Super Plan, Max Life Platinum Wealth Plan, and Max Life Maxis Super Plan.
1. Max Life Fast Track Super Plan
- Premiums can be paid through Regular Pay Option, Limited Pay Option, or Single Pay Option.
- Secure Plus Fund offers five options to choose from to invest your premiums.
- After the maturity period, the fund value can be taken in lump sum amounts or installments over five
- You get 12 free switches every year to change between funds.
- Income tax benefits on premiums and claims.
2. MAX Life Platinum Wealth Plan
- You can get life cover equal to 10 times the total premium paid in a year
- You have the choice of 6 funds and also get protection from market volatilizes with two strategy options.
- You can make unlimited free switches every year to change between funds.
- To enhance your overall fund value by additional wealth boosters.
3. Max Life Maxis Super Plan
If you want to enjoy the double benefit of wealth maximization and insurance cover in one ULIP, then invest in Max Life Maxis Super Plan
- Premiums can be paid through the Limited Pay Option.
- You can enjoy 12 free switches every year to change between funds.
- Depending on your age and requirement you can choose 11, 15, or 20 times of annual premium as Sum Assured.
- Income tax benefits on premiums paid and claims as per the Income Tax Act 1961.
6. MAX Life Savings and Income Plan
Max Life Insurance Savings & Income Plans help you make an investment, earn a stable income, and also secure the future of your loved ones, even in your absence. This plan offers flexibility to withdraw money to meet any emergency needs.
You can invest in Max life savings and income plans
- If you want to earn regular income through disciplined savings.
- If you want to create an investment to take care of your family’s future.
- If you want life insurance coverage.
- If you want to avail tax benefits under the Income Tax Act 1961.
Max Life Insurance offers a Max life savings advantage plan, monthly income advantage plan, assured wealth plan, guaranteed income plan, life gain premier, whole life super, and POS guaranteed benefit plan.
