Aegon Life Insurance has launched a new term plan named ‘iTerm Prime Insurance plan’ for the self-employed sector. The minimum sum assured is Rs 25 lakh. It also offers a special discount of 10 per cent on the first-year premium.
The policy also offers special add-on features like critical illness cover and accidental death.
The other details of the policy are as follows:
The minimum entry age is 18 years. The maximum age is 65 years for regular pay, and 50 years for limited pay.
In the regular pay mode, one has to pay the premium throughout the policy term. In limited pay, one can pay premium for a fixed duration and can also take the policy coverage till 70 years of age.
The policy also offers an option named ‘special exit value’, wherein the policyholder will get back the entire premium paid once they turn 55 years old. The entry age for this is 40 years, and the policy term is till 70 years.
The policy also offers a grace period of 15-30 days on premium payment.
The policy also offers death benefit, which is highest of 11 times the annualised premium or 105 per cent multiplied by the total premiums paid as on the date of death or base sum assured.
“If the policyholder dies during the policy tenure, a death benefit will be paid in lump-sum to the nominee. If the policyholder decides to terminate the plan at the age of 55, all premiums paid up until that point will be reimbursed,” Aegon said in a press release.
Satishwar B., MD and CEO of Aegon Life Insurance said that the number of self-employed people in India as of 2021 was 333 million and this huge population of self-employed people do not have access to adequate term insurance products primarily because of extensive paperwork involved.
Hence, they simplified the paperwork requirements to allow the self-employed to purchase a policy with just a valid PAN card, Aadhaar or driver’s licence. There is no requirement of any document to be uploaded or scanned, he says.
“iTerm Prime is designed to encourage emerging India to gain access to life insurance. Self-employed individuals make up the majority of India’s working population, yet this segment remains under-insured. To make insurance accessible for them, we have simplified buying journeys and sped up
underwriting by digitising it. Besides this, we have introduced a special discount and flexible payment options to make the product more affordable for the end consumer,” he says.
The policy can be bought on Aegon’s website as well as through channel partners. The premium rates can also be checked on Aegon’s website.