What Are the Documents Required for Buying a Term Insurance Plan?

List of Documents Required for a Term Insurance Plan

List of Documents Required for Filing Claims on Term Insurance Plan

Advantages of Having All Documents Required for a Term Insurance Plan

What to Do if the Documents Required for Term Insurance Plan Go Missing?

FAQs about Documents Required for a Term Plan

Is income proof mandatory to buy term insurance plans?

Yes. Income proof helps the insurer to determine the risks involved and decide the sum assured to the applicant.

Can multiple claims be entertained for term insurance policies?

Yes, multiple claims can be entertained from different insurers. However, these claims and their precise nature have to be declared at the time of policy purchase.

Do term insurance plans come with any tax benefits?

The premium paid towards term insurance policies is tax exempt under Section 80C of the Income Tax Act 1961. In addition, the sum assured provided upon the policyholder’s death is exempt from taxes under Section 10 (10D). These exemptions are governed by the prevailing tax regime.