- Term insurance helps doctors provide their family a financial protection in their absence
- Term insurance is affordable and comes with riders where one can get protection for critical illness and accidental death, disability, and dismemberment
- You can enhance life cover at a nominal additional premium if your expenses or liabilities increase subsequently
A sedentary lifestyle and hectic schedules have increased the risk of lifestyle diseases and stress among doctors and medical practitioners. According to a study published in 2016 in Journal of Family Medicine and Primary Care, 50% of the medical practitioners surveyed were at a high risk for cardiovascular diseases (CVDs). The study was conducted in a medical college hospital in Tamil Nadu with a survey sample of 250 doctors.
The amount of stress that doctors face can be assumed by the statistic that while the WHO’s recommended doctor-to-patient ratio is 1:1,000, in India, we have the ratio of 1:1,430*. The ever-increasing demand for healthcare continues to mount pressure on the existing medical experts.
Dr. C N Raja, ex-president of the Tamil Nadu chapter of the India Medical Association said, “Patients think modern medicine is like customers expecting delivery of goods for payment. We can’t guarantee that in our profession. This is leaving a lot of doctors stressed”. He further adds that 75% of deaths among doctors are due to heart ailment, and these doctors are mostly aged between 45 to 60.
Hence, while doctors take steps to reduce the workload, they should also not ignore the need to put together a sound financial plan that can help mitigate contingencies. It is here that a term insurance plan comes in. A term plan is an ideal financial tool to cover liabilities in the absence of the breadwinner, so that their near and dear ones are not left on their own to finance the living costs as well as the loan repayment (if any).
● Term Plans provide higher life cover at nominal premiums
The reason term insurance is a crucial part of your financial planning is because you can get a higher life cover for lower premium. For example, if you, as a non-smoker, want a life insurance cover for ₹ 1 crore, you can get a term insurance policy for a premium of less than ₹ 8,000 p.a.**
● Term plan riders can provide comprehensive protection
Most term insurance policies come with riders. A term insurance rider is an extra protection added to the main policy at nominally additional charges. Some of these riders are critical illness, accidental death, disability, and dismemberment. In the unfortunate event of any of these, you can claim the pre-determined sum assured.
You can avail taxation benefits by investing in a term insurance — for premiums you pay (u/s 80C), maturity proceeds u/s 10 (10D), premiums for critical illness rider u/s 80D.
Exide Life Elite Term Plan has several options to provide comprehensive financial coverage to the beneficiary as well as the policyholder.
● Substantial Life Cover at affordable premiums
● 1st plan to offer higher sum assured on maintaining healthy lifestyle
● Family income benefit up to 10 years
● Policy term extension up to 10 years
● Option to add riders - Critical Illness, Accidental death, Disability, and Dismemberment
Wondering how much life insurance cover you need?
In order to decide a life cover amount, the simplest formula to start with is — choose an amount which is 15–20 times of your current annual income. However, it is important to take into account your liabilities and expenses to decide your life cover.
Your liabilities can include EMIs for your education loan, home loan, car loan, etc., your monthly expenses can include outflows towards your child’s education, groceries, house help, maintenance, etc. In addition, savings towards long-term financial goals should also be considered. Accordingly, you can arrive at life cover such that your family can maintain the standards of living and pay off your debts (if any) in your absence. A Human Life Value Calculator can help you get started by calculating the life cover you need.