Find out exactly how much life cover you need and what it costs. Compare LIC, HDFC, ICICI, SBI Life plans.
| Insurance Company | Annual Premium | Monthly | Claim Settlement | Best For |
|---|---|---|---|---|
| Tata AIA Sampoorna Raksha | ₹7,560/yr | ₹630 | 99.01% | Cheapest + best claims |
| HDFC Click2Protect | ₹7,800/yr | ₹650 | 98.66% | Most popular online |
| ICICI Pru iProtect Smart | ₹8,200/yr | ₹683 | 97.82% | Critical illness rider |
| SBI eShield Next | ₹8,500/yr | ₹708 | 97.05% | Govt bank trust |
| Max Life Smart Secure Plus | ₹8,700/yr | ₹725 | 99.51% | Highest claim settlement |
| LIC Tech Term | ₹9,400/yr | ₹783 | 98.71% | Govt trust + offline |
Term insurance is the simplest and cheapest form of life insurance. You pay a small premium every year and if you die during the policy term, your family receives a large tax-free lump sum. There is no maturity benefit — if you survive the term, no money is returned. This is exactly why it's so affordable.
A healthy 30-year-old can get ₹1 crore cover for just ₹650-800 per month. That's the same as two restaurant meals. If something happens to you, your family gets ₹1 crore — enough to repay home loans, fund children's education, and sustain the household for years.
The human life value method calculates your economic value to your family. Start with your annual income, multiply by the years you'll work, and account for inflation. For most Indians, the formula simplifies to: Cover = 10-15x annual income + all outstanding loans.
Example: Annual income ₹12L, home loan outstanding ₹40L. Minimum cover = ₹1.2 crore (10x income) + ₹40L (loan) = ₹1.6 crore. Round up to ₹2 crore for inflation protection. At age 30, ₹2 crore cover costs approximately ₹1,100-1,400 per month — very affordable for the protection it provides.
Premium increases significantly with age. The difference between buying at 25 vs 35 is enormous. At age 25: ₹1 crore cover costs ₹450-550/month. At age 30: ₹600-750/month. At age 35: ₹900-1,100/month. At age 40: ₹1,400-1,700/month. Buying at 25 instead of 35 saves ₹500+/month — that's ₹6,000/year × 30 years = ₹1.8 lakh saved in premium alone.
Critical illness rider (₹50-150/month extra): Pays lump sum on diagnosis of cancer, heart attack, stroke. Worth adding for most people. Accidental death benefit (₹100-200/month): Doubles payout if death is accidental. Terminal illness benefit: Usually free — pays early on terminal diagnosis. Waiver of premium: If you become disabled, future premiums are waived. The base term plan with critical illness rider is the recommended combination for most Indians.