Basic Terminologies to Know in Term Insurance

List of Important Terms in a Term Insurance

FAQs About Terms to Know in Term Insurance

Can two term insurance policies be purchased together?

Yes, you can purchase multiple term insurance policies from the same or various insurance companies simultaneously. This way, you can cover your payments during different phases of your life without hassle. Also, when it comes to multiple insurance policies, there has been a specified upper limit. Thus, qualified individuals are eligible to buy insurance benefits upto  25 times their annual salary.

Does the insurance premium change after a specified time period?

Insurance premiums can escalate just after the end of a policy period. The insurance company can increase the claim premiums made during the earlier period if the risk involved in a specific type of insurance increases, or the cost of coverage rises.

What are the five forms of term insurance?


Mentioned below are five noteworthy forms of term insurance:

What is the difference between life insurance and term insurance policy?


Typically, a term insurance policy only offers a death benefit in the event of the insured person’s death within the policy term. On the other hand, a life insurance policy provides both maturity benefits and death benefits to the insured individual.

Read More: Difference between Term and Life Insurance Plan