• About Us
  • Our Partners
  • Become an Advisor
  • NRI
  • QROPS
  • Careers
  • Alumni Portal
  • Public Disclosures
Select a language English
  • Pay Premium
  • COVID-19
    Assistance
    Covid-19 Crisis
  • Our
    Products
    • Protection Plans
    • Savings & Investments
    • Retirement & Pension
    • Group Business
    • QROPS
    Covid-19 Crisis
  • Our
    Funds
    • Fund Fact Sheet
    • Market Review
    • Check NAV
    • Market Highlights
    • Annual Fund Review 2020-21
    • Covid-19 Crisis
  • Knowledge
    Center
    • Blogs and Articles
      Term Insurance early bird offer

      With Term Insurance - It pays to be an early bird

      View All

    • Video library
      keep your family secured

      60 seconds is all it takes to keep your family secured!

      View All

    • FAQ

      What is the claims process at Exide Life Insurance?

      View All

  • Planning
    Tools
    • Calculate How Much
      Life Cover You Need
    • Risk Analyser
      Life Insurance
    • Child Education Planner
      Number
    • Know Your Retirement
      Number
    • Investment
      Calculator
  • Customer
    Service
    • Premium Payment Options
    • Self Service

    • Instant sign-up for Auto Debit
    • All Claims
    • Download Center
    • Term Insurance early bird offer

      Track your Application

    • Term Insurance early bird offer

      Track your
      Claim

    • Track your Service Request

Eng
Pay Premium
  • Our Products
  • Our Funds
  • Knowledge Center
  • Planning Tools
  • Customer Service
  • About Us
  • Our Partners
  • Become An Advisor
  • NRI
  • QROPS
  • Careers
  • Alumni Portal
  • Public Disclosures
  • Share via:
    • Home/
    • Our Funds /
    • Knowledge Center/
    • Blogs and Articles/
    • The need for life insurance

  • Categories:
  • Term Plan
  • Health Plan
  • Savings and Investments
  • Retirement
  • Tax Planning
  • Services
  • All

The need for Life Insurance

  • Min
  • Views
need of life insurance why life insurance is required
  • A life insurance policy ensures financial protection to the dependents of policy holder
  • Life insurance should cover all the financial liabilities, else there is a risk of being under insured
  • Besides the life insurance cover, certain life insurance policies also provide money back and investment returns
life insurance need

In its simplest and most basic form, life insurance is a shield against risk of unfortunate demise. Technically, it is a legal contract between you and an insurer, under which you pay an amount or a periodic payment called premium, in return for insurance cover (protection) for the risk your life faces. The life insurance cover extends for a pre-specified term, at the end of which the contract ceases to exist.

Broadly, the premium you pay hinges on factors such as the type of plan (term or endowment), the cover amount you’re buying, the tenure, your health condition and your age. It’s important to get a fix on precisely how much cover you need — not just because it will determine how much premium you will pay but because if you’re inadequately insured, the very purpose of your buying insurance will be defeated.

The rationale that governs the purchase of insurance policies is this: in the event of demise, your dependents can be monetarily compensated to the extent of the cover you have taken. There are, of course, several other factors that determine precisely how much insurance cover you can take. You should use the Human Life Value Calculator to find out the minimum amount you must get insured for.

“ Life is full of uncertainties. Use life insurance as a financial hedge to overcome this insecurity”

Life Insurance, thus, is a risk management tool, but prudent risk management also requires you to prioritize your risks and take only such cover as is necessary at any point, and to review your insurance needs from time to time. For instance, a life cover of 15 lakhs taken when you were single may not be adequate if you are now married with kids.

Life insurance forms the cornerstone of financial planning. Yet, look around and you will find most people — irrespective of age — are under-insured. An inadequate awareness of one’s insurance needs is principally to blame for this. Most people, consequently, buy life insurance policies for tax-saving or investment purposes, which should not be the only reason to buy life insurance.

Policy types

There are, broadly, four types of life insurance policies- Term, Endowment, ULIP and Whole Life Plans.

Term plans are the cheapest, purest form of insurance, which cover the risk of unfortunate demise for a specified period. Generally term plans do not offer anything in return on completion of policy terms, however there are certain term insurance plans like Exide Life Insurance Smart Term Plan which offers life cover for the chosen term and also returns the premium on completion of policy term.

Endowment plans are insurance-cum savings vehicles: they offer life insurance cover for the policy tenure and, additionally, offer a return on investment. Money Back plans are a type of endowment plans in which you receive policy benefits in the form of regular pay outs even as you continue paying premiums.

ULIP is a life insurance policy which provides a combination of risk cover and investment. The dynamics of the capital market have a direct bearing on the performance of the ULIPs.

Whole-life plans are policies that, as the name suggests, cover you for your whole life, not just for a fixed tenure.

Some types of insurance plans also serve as retirement planning vehicles. For instance, an annuity is a contract between you and an insurer, which allows you to receive a pension in your post-retirement years. A deferred annuity is a long-term retirement planning vehicle in which the accumulations in your earning years will enable you to form a corpus which will be used to buy an annuity plan to receive pension in your golden years.

Evolving over a span of time, the life insurance plans today are not just confined to provide pure protection, but additionally serve your savings and investment needs as well. Insure wisely, insure properly is the mantra you should stick to in life.

Term Plan
  • Likes
  • Shares

Connect with us

Name is a required field
Age is a required field
Gender is a required field
City is a required field
Email is a required field
Mobile is a required field
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
I have read and agree to the disclaimer

Disclaimer


By submitting your contact details (Telephone number), you authorize Exide Life Insurance and/or its authorized service provider to verify the above information and/or contact you in relation to the insurance products sold by Exide Life insurance even if this telephone number is presently or subsequently registered on the Provider. Do Not Call/Do Not Disturb Register or the National Do Not Call Register.

Enter the OTP which was sent to your number

Please enter new Mobile
OTP is a required field
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
Submit Change Mobile Resend OTP

*The OTP will be valid only for the next 15 minutes. In case, if you have not received the OTP, click on Resend OTP.

Verification Successful

Thank you for visiting our website and showing interest in Exide Life Insurance. Our representative will get in touch with you shortly.

Back To Home

Related Articles

Related Articles

Related Videos

Related Videos

You may also like this

Human Life Value Calculator

Calculate the life insurance cover you will need to insure a well planned lifestyle for your family even if you are not around.

Calculate Now

You may also like this

Human Life Value Calculator

Calculate the life insurance cover you will need to insure a well planned lifestyle for your family even if you are not around.

Calculate Now

Connect with us

Name is a required field
Age is a required field
Gender is a required field
City is a required field
Email is a required field
Mobile is a required field
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
I have read and agree to the disclaimer

Disclaimer


By submitting your contact details (Telephone number), you authorize Exide Life Insurance and/or its authorized service provider to verify the above information and/or contact you in relation to the insurance products sold by Exide Life insurance even if this telephone number is presently or subsequently registered on the Provider. Do Not Call/Do Not Disturb Register or the National Do Not Call Register.

Enter the OTP which was sent to your number

Please enter new Mobile
OTP is a required field
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
Submit Change Mobile Resend OTP

*The OTP will be valid only for the next 15 minutes. In case, if you have not received the OTP, click on Resend OTP.

Verification Successful

Thank you for visiting our website and showing interest in Exide Life Insurance. Our representative will get in touch with you shortly.

Back To Home

Connect with us

Name is a required field
Age is a required field
Gender is a required field
City is a required field
Email is a required field
Mobile is a required field
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
I have read and agree to the disclaimer

Disclaimer


By submitting your contact details (Telephone number), you authorize Exide Life Insurance and/or its authorized service provider to verify the above information and/or contact you in relation to the insurance products sold by Exide Life insurance even if this telephone number is presently or subsequently registered on the Provider. Do Not Call/Do Not Disturb Register or the National Do Not Call Register.

Enter the OTP which was sent to your number

Please enter new Mobile
OTP is a required field
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
Submit Change Mobile Resend OTP

*The OTP will be valid only for the next 15 minutes. In case, if you have not received the OTP, click on Resend OTP.

Verification Successful

Thank you for visiting our website and showing interest in Exide Life Insurance. Our representative will get in touch with you shortly.

Back To Home
  • Key Links

  • Buy Online
  • Buy Guaranteed Returns Insurance Plan
  • Buy Zero Cost Term Insurance
  • Buy Term Plan with Return of Premiums
  • Buy Heart & Cancer Insurance
  • Buy Single Premium ULIP Plan
  • Buy Investment with Insurance Plan
  • Buy Savings cum Insurance Plan
  • Buy 5 Pay Savings Plan
  • Buy Unit Linked Pension Plan
  • Buy Simple & Affordable Term Plan
  • Buy Guaranteed Income Benefit Plan
  • Get a Quick Quote
  • Term Plan Calculator
  • Financial Calculator
  • Have Queries?
  • To Buy Policy Online : 1800 419 0808
  • For Policy Servicing : 1800 419 8228
  • Write to Us
  • Life Insurance Plans
  • Smart Term Pro
  • Smart Term Edge
  • Saral Jeevan Bima
  • Term Insurance Comparison
  • Critical Illness Insurance
  • Term Riders
  • Retirement & Pensions
  • QROPS
  • Health Insurance
  • Critical Illness Rider
  • Group Insurance Scheme
  • Group Insurance Policy
  • Group Term Life Insurance
  • Group Gratuity Scheme
  • Group Critical Illness Insurance
  • Investment Options
  • Endowment Plans
  • Endowment Assurance Plan
  • Secured Income Insurance Plan
  • Long Term Investment
  • Tax Savings Investments
  • Single Premium ULIP Plan
  • Child Plans
  • Child Investment Plans
  • Customer Service
  • Track your Application
  • Track your Service Request
  • Register for Auto Debit
  • Claims
  • Claim Forms
  • Track your Claim
  • Check Unclaimed Amount
  • About Us
  • Management Team
  • Media Centre
  • Awards and Recognition
  • Corporate Social Responsibility
  • Forms
  • My Money Book
  • FAQs
  • Term Insurance FAQs
  • Online Term Insurance FAQs
  • Life Insurance FAQs
  • Retirement & Pension FAQs
  • Child Plans FAQs
  • Savings and Investments FAQs
  • Blogs and Articles
  • Video Library
  • Security Tips
  • Privacy Policy
  • Tax Center
  • Withdrawn Products
  • Sales Illustrator
  • My Connect
  • About E-insurance
  • Terms of Use
  • New Business Premium
  • IRDAI
  • policyholder.gov.in
  • Member of the Life Insurance Council
  • IRDAI IGMS
  • Modification in NAV Computation
  • Grievance Redressal
  • Disclaimer
  • DNC (Do Not Call)
  • Intellectual Property Rights
  • Phishing
  • API & Development
  • HDFC Life

IRDAI notice : Beware of Spurious/ Fraud Phone Calls: IRDAI is not involved in activities like selling insurance policies, announcing bonus or investment of premiums. Public receiving such phone calls are requested to lodge a police complaint.

Exide Life Insurance Company Limited.
IRDAI Registration Number: 114, CIN:U66010MH2000PLC377660
Registered Office: First Floor, Unit No.5 to 8, Inizio Building, Opp P&G Plaza, Cardinal Gracious Road, Chakala, Andheri East, Mumbai – 400 099, India
Corporate Office: Third Floor, JP Techno Park, No. 3/1, Millers Road,
Bangalore- 560 001, India.
2022 Exide Life Insurance Company Limited. All rights reserved.

  • IRDAI Public Notice on Spurious Calls
  • Sitemap
  • FAQ
  • © 2022 Exide Life Insurance Company Limited
loading

Please rotate your screen for
optimal experience

    • Share via:
Buy Online :
  • Smart Term Edge
  • Single Premium ULIP
  • Locate a Branch
  • Service Queries
  • Speak to our Expert
  • Smart Term Edge
  • Single Premium ULIP
  • Locate
  • Speak to our Expert
  • Buy

Have Us Call You

Disclaimer


By submitting your contact details (Telephone number), you authorize Exide Life Insurance and/or its authorized service provider to verify the above information and/or contact you in relation to the insurance products sold by Exide Life insurance even if this telephone number is presently or subsequently registered on the Provider. Do Not Call/Do Not Disturb Register or the National Do Not Call Register.

Please enter first name
Please enter a valid Birth date
Please enter a valid email id
Please enter mobile number Please enter valid number
Please select gender
Please select state
Please select city
Please select best date to call
Please select best time to call
Please select Preferred purchase mode
Please select Where did you find about us
Disclaimer Disclaimer
Generate OTP Reset

*Clicking on Generate OTP will send a One Time Password to the entered Mobile Number. Please use this password for verification

Enter the OTP which was sent to your number

Please enter OTP Please enter correct OTP or Regenerate OTP Your OTP has expired. Please Regenerate OTP.
Submit Please wait Re-generate OTP
You have exceeded the number of times an OTP can be generated, request you to please try after sometime.
OTP Regenerated. Please enter the new OTP
*The OTP will be valid only for the next 15 minutes. In case, if you have not received the OTP, click on Regenerate OTP.

Have Us Call You

Verification Successful

Thank you for visiting our website and showing interest in Exide Life Insurance. Our representative will get in touch with you shortly.

 

Back To Home