What is Term Insurance Premium Calculator?

A term insurance premium calculator is a freely available online tool that helps calculate the amount of premium that you need to pay for the desired insurance coverage and policy benefits. A term insurance premium calculator takes into consideration various factors such as our age, current income, debts, marital status, health conditions and the number of dependents to help you choose an insurance plan that best fit your needs and life goals.

What Does A Term Plan Calculator Do for You?

Essentially, a term insurance calculator helps you get an estimate of the insurance coverage that you would need to protect your loved ones financially and the premium payable. Ideally, the life insurance coverage should be large enough to secure your family’s financial needs in case of an eventuality. On the other hand, the premium payable for the insurance coverage chosen should fall within your monthly budget. A term insurance premium calculator provides the required premium amount payable for the selected insurance coverage amount, based on the following factors:

Life Cover Amount

Life cover amount is the amount insurance company will pay your family or nominee in case your demise occurs within the policy period. The recommended life cover amount to opt for should be at least 1 Otimes your annual income.

Policy Term

The policy term is the period for which the insurance plan provides you cover. In case of your unfortunate demise within this period, your family or nominee would receive the life cover amount.

Flexibility to Choose Add-ons

Riders are an add-on that you can choose while purchasing the term insurance policy by paying an additional premium. These riders help provide benefits such as additional financial coverage over and above the life cover amount.