Different types of term plans!

Different types of term plans Level term plan – This is the simplest type of term plan. Under this kind of life insurance plan, both the premiums to be paid and the Sum Assured remain unchanged all through the policy tenure. Increasing term plan – Under this type of plan, the Sum Assured increases with each passing year at a particular rate. It can provide you with better coverage in line with your changing life goals and also protect you against inflation. Term plan with life stage increment option - Here, your life cover increases as you cross certain milestones in your life, say, marriage, the birth of a child, etc. It makes sense to consider such a policy earlier in life, before you have crossed these life stages. Such a plan will have a higher premium than a comparable level term plan.