Term Life Insurance vs Permanent Life Insurance Plan

Hello I'm Life Planner at TATA AIA

Here we provide coverage upto 100 years , so it is sort of permanent life insurance onlt

Further if you have any queries we can arrange meeting on zoom for better understanding

permanent insurance is not much useful since:

• you won't be needing it after a certain age, since you won't have much liabilities left. You will not have any dependent left on you after you cross a certain age eg 65.
  
• It will have more premium than the term olan

Premiums are high if opted till old age. Insurance needed only till 65-75 age max and is reasonable. I'm an insurance advisor.

LordGane wrote:

Premiums are high if opted till old age. Insurance needed only till 65-75 age max and is reasonable. I'm an insurance advisor.

I believe 65 is sufficient, anything beyond 65 is an overhead and increases premium unnecessarily 

flash007 wrote:
I believe 65 is sufficient, anything beyond 65 is an overhead and increases premium unnecessarily 

There is no pre-defined figure. Some have kids late after age 40 or take home loans late. Insurance is needed till such responsibilities are completed. So assessment is needed while talking to the buyer. One more thing, chances of dying are more as she increases so analysis of individual needs is crucial.

LordGane wrote:
There is no pre-defined figure. Some have kids late after age 40 or take home loans late. Insurance is needed till such responsibilities are completed. So assessment is needed while talking to the buyer. One more thing, chances of dying are more as she increases so analysis of individual needs is crucial.

Certainly, I agree with the point you made about the necessity of insurance, and the decision should indeed be based on individual requirements.

But In general, it's common for people to have children between the ages of 30 and 35. By the time they reach 65, their children will typically be between 25 and 30 years old, often self-reliant. At this stage, parents may still have various financial obligations, but they will also possess their investments and retirement savings to cover any remaining expenses. This is why I mentioned that reaching the age of 65 is usually sufficient for many individuals.

I also concur with your observation that there will always be exceptions, such as those who have children later in life or those with home loans extending beyond the age of 65. Therefore, it's essential for individuals to make their decisions based on their unique circumstances. Nevertheless, our discussion should ideally address the common scenarios that apply to a broad segment of the population rather than focusing solely on exceptions.

There is no use of permanent life insurance. If you really want to spend that much money, check the monthly premium of term life insurance till age 65. Then check the monthly premium for permanent life insurance.

Start a monthly SIP in an index fund of the difference amount.

You'll thank me when you are 65.