In most Indian households, the male member of the household is insured since he is usually the sole breadwinner. However, as a growing number of women enter the workforce, the need for a joint insurance policy that covers both members is becoming apparent. Furthermore, insurers began selling spouse term life insurance plans to promote gender equality and underlining the value of each partner’s life. As a result, the exception has been made where even if his wife is not working, a husband may acquire a term insurance policy in his wife’s name.
What is Spouse Term Life Insurance?
A spouse term life insurance is one that permits both the husband and wife to benefit from life insurance coverage under one plan. This comprehensive coverage assures that the family is financially secure even if either of the partners dies unexpectedly.
The principal policyholder under the spouse life insurance plan must be the family’s earning member. Furthermore, with this insurance, a policyholder also gets the opportunity to add some additional benefits like critical illness, accidental death, permanent disability, and dismemberment riders.
If you want to know more about the term insurance for spouse, read on.
What are Joint Term Insurance Benefits?
In addition to financially protecting the family’s interests in the event of the unexpected death of any of the partners, there are various other benefits of insurance for spouse, which are as follows:
Higher Sum Assured
Beneficiaries will receive a bigger sum assured with a joint term insurance plan for spouses. In the event of the primary policyholder’s death, the base sum assured is paid, and the surviving spouse is covered for 50% of the sum assured. As a result, the beneficiaries receive the sum assured following the death of the other spouse.
With relatively little effort, an individual can purchase term insurance for his or her spouse. It is much easier to obtain it online, where you may use a term insurance calculator to check for life insurance coverage before buying the policy.
Not only is the documentation required to purchase the policy simplified, but it is also a possible alternative to purchase a single joint policy for the couple rather than two policies. Acquiring a spouse term life insurance policy is usually less expensive than getting two separate term insurance policies.
The term insurance for a spouse is typically a less expensive alternative to purchasing a separate term plan for each partner. This is because a single premium payment would cover both the husband and the wife in a joint term plan. Also, regular monitoring of a single policy would be considerably easier and less expensive.
Another advantage of buying a joint term insurance plan is the waiver of future premiums in the event of a partner’s untimely death. If the principal insured dies during the term of the policy, the policyholder will get the sum assured. Moreover, the surviving partner will not be required to pay any future premiums to keep the insurance coverage.
Life is unpredictable. So, it is in a couple’s best interests to plan for the future with prudence. One option to protect your family from unanticipated tragedies is to purchase joint term insurance for your spouse. However, before deciding on the appropriate plan for their needs, a couple should conduct extensive research and comprehend the multiple benefits offered by various term plans.