Best Term Insurance Companies

With the growing inflation rate and uncertain incidents, it is highly important to secure the future of your loved ones. This can be done by investing in an adequate Term Insurance Plan to financially protect the future of your family and help them be able to survive independently, in case of your demise. It is imperative to choose the best Term Insurance Company in order to safegaurd your family financially. Term Insurance is a pure financial protection plan that covers the family's monetary needs in case of the policyholder's sad demise. In term insurance plan, the person nominated by the policy holder gets a lump sum amount as death benefit in case of unfortunate events. If the policyholder survives the insured period, they can avail extended coverage or have to let go of the coverage entirely.

Term Insurance is also known as pure life insurance, a type of life insurance that guarantees payment of a stated death benefit if the covered individual dies during a specified time.

To purchase from the Best term plan company, it is required to understand how Term Insurance works and what are the factors to keep in mind before making the right decision. PolicyX has collated all the necessary information for you to choose from the best Term Insurance Company.

There are around 24 Term Insurance companies available in India, and selecting a suitable term company and plan can be quite a difficult decision to make. For your convenience, we have listed all the top insurance companies below to help you in choosing an ideal Term Insurance plan. With the help of CSR, solvency ratio and other factors, you can opt for the best term insurance company to match yours and your family's needs.

Why Do I Need Term Insurance?

Before you invest in a Term Insurance plan you need to understand why you need Term Insurance. Here are a few reasons to consider investing in the best term life insurance companies:

• Lay a finanical security net for your family: If you are the sole earning member of your family you need to think about a future for them without you in it. You should consider evaluating the scenario of how will it look like for your spouse, children, and elderly parents in case of an unforeseen circumstance where you are no more to support them.
• To pay off your debts:You may have built different assets such as a home for your family, a vehicle or an investment for your financial portfolio through loans. Investing in a term plan from the best term plan company will ensure that the weight of these loans will not cause any financial difficulty to your family in your absence.
• Prepare for uncertain circumstances: In case of your unforeseen death, the cover purchased from the best term insurance company will help your family pay for their regular expenses helping them accomplish their life goals and objectives.

Understanding Term Insurance Premium Calculator

Quiet often, when you think about buying the best term plans for your family and visit insurance company websites you may have noticed the pop up that says calculate your premium. It is often tricky and confusing to understand the purpose and how it will help us.

The term insurance premium calculator is an online tool that helps you calculate the premium that you need to pay monthly and accordingly you will get to know the sum assured amount after you insert your necessary details like age, income, name, etc. There are multiple benefits of this premium calculator, such as

• Saves time:The premium calculator saves time where you do not need to submit any hard copies to obtain premium quotes of different plans.
• Compare plans:The calculator helps you calculate different premium quotes offered by different insurers in the country.
• Affordable plans:Buying term insurance plans online is preferred as you get consolidated information about the best insurance companies in the country and the best insurance plans as well as special discounts and offers can be availed.

Top 5 Term Insurance Companies

To help you understand better, we've created a graph that highlights the top 5 term insurance companies in India. The ranking of the companies is done on the basis of the company's respective annual premium in 2020-21 the below-given graph.

Top 5 Term Insurance Companies in India

Term Insurance Providers in India

As per IRDA's list of 2019-20, there are 24 companies that cater to term insurance plans in India. Below, we have mentioned some details of the same:-

**Last Updated on May, 2022

1. Aegon Life Insurance Company

   Aegon Life Insurance Company, one of the leading life insurance companies in India was founded in July 2008. and delivers world-class products. It was the first life insurance company to launch Online Term Insurance Plans in India. The company serves more than 3 lakh customers and was recently awarded as the “Digital Company of the Year-2020” at India Insurance Summit 2020. Aegon Life Insurance aims to deliver the best-suited insurance plans to its customers, and constantly looking to enhance the overall customer experience.

   Know More About - Aegon Term Insurance

2. Aviva Life Insurance Company

   Aviva Life Insurance Company is a joint venture between Dabur Invest Corp, a UK based insurance group and Aviva Group one of India's oldest and most respected business houses. The company is recognized as one of the renowned players in the life insurance industry of India and serves around 33 million customers across 16 countries. It has a wide distribution network with a global presence in 16 Markets and a strong sales force. When it comes to term insurance, Aviva provides customized products to cater to the different needs of customers.

   Know More About - Aviva Term Insurance

3. Aditya Birla Sun Life Insurance

   Aditya Birla Sun Life Insurance is one of the most trusted life insurers in India. It is a joint venture between the Aditya Birla Group and Sun Life Financial Inc. With several years of experience in the insurance sector, the company has contributed tremendously to the growth and development of the Indian life insurance industry. The company offers innovative products and services to cater to the different needs of insurance and wealth management of customers.

   Know More About - Aditya Birla Sun Life Term Insurance

4. Bajaj Allianz Life Insurance Company

   Bajaj Allianz Life Insurance Company Limited, established in the year 2001, is a joint venture between Bajaj Finserv Limited (ownership of Bajaj Group, India) and Allianz SE. It offers comprehensive life insurance solutions and its term insurance plan is one of its most demanded products. The company operates a wide network across the country through its 511 branches, 80,000+ agents, a comprehensive set of trusted partners and online sales channel. Recently, this company also won the 'Most Innovative Best Practice in Customer Experience' award at the CII DX Summit & Awards 2020.

   Know More About - Bajaj Allianz Term Insurance

5. Bharti AXA Life Insurance Company

   Bharti AXA Life Insurance is a well-known insurer, which has been serving Indian customers with innovative and affordable insurance products since 2008. The company was formed through the amalgamation of two great visionaries- Bharti that holds a 51% stake and AXA that holds 49% stake of the company. It offers an affordable yet effective list of term insurance plans, which are designed by keeping the growing needs of customers in mind. This company operates a pan India network and has 263 branches located at different cities across the country.

   Know More About - Bharti Axa Term Insurance

6. Canara HSBC Oriental Bank of Commerce Life Insurance Company

   Canara HSBC Oriental Insurance is one of the finest insurance companies in India. The company was established in 2008. It is a joint venture between Canara Bank, HSBC Insurance Holdings Limited and Punjab National Bank. To provide ease to customers, the company has a pan India presence. The company offers a wide range of insurance products including online insurance plans, term insurance plans, savings plans, retirement solutions, child insurance plans and health insurance.

   Know More About - Canara HSBC Term Insurance

7. Edelweiss Tokio Life Insurance Company

   Edelweiss is a renowned life insurance company, which aims to protect people's dreams and aspirations. The company is a joint venture between Tokio Marine Holdings & Edelweiss Financial Service Limited. It operates a pan India network with 116 branches and 55,749 agents. This company adopts a customer centric approach and holds a bunch of great plans to help fulfill customer's dreams and mitigate the hindrances.

   Know More About - Edelweiss Tokio Term Insurance

8. Exide Life Insurance Company

   Exide Life Insurance Company is an established and profitable player in India's life insurance industry. The company was founded in 2001 and headquartered in Bengaluru. It is a 100% owned subsidiary of Exide Industries Limited. The company operates around 200 offices across the country and owns multiple channels to distribute its products on a wide level. It offers long term protection along with creative savings and wealth solutions.

   Know More About - Exide Life Term Insurance

9. Future Generali Life Insurance Company

   Future Generali Life Insurance is a joint venture between Future Group, Generali Group, and Industrial Investment Trust Limited (IITL). The vision of the company is to actively protect and enhance peoples' lives. With a presence in more than 136 locations across India, Future Generali offers a wide range of effective insurance plans and solutions. The company was recently awarded for Excellence in Strategy Planning at the 2nd edition of Chief Strategy Officer Summit & Awards 2020.

10. HDFC Life Insurance Company

    HDFC Life insurance is one of the strongest life insurance players in the Indian market. It is a joint venture between HDFC Ltd and Standard Life Aberdeen. The company was founded in 2000 and since then, the company has been a proud insurance solutions provider. The company offers a wider range of individual and group insurance solutions. To offer complete protection to your family, HDFC holds the finest term insurance solutions.

    Know More About - HDFC Term Insurance

11. ICICI Prudential Life Insurance Company

    ICICI Prudential Life insurance is one of the popular life insurance players in the industry. ICICI Bank Limited and Prudential Corporation Holdings Limited joined hands to establish ICICI Prudential Life Insurance Company. The company was founded in 2001 and has consistently been amongst the top players in India. To deal with different life stage requirements, the company offers a wide suite of savings and protection plans.

    Know More About - ICICI Term Insurance

12. IDBI Federal Life Insurance Company

    IDBI, a renowned life insurance company in India, is a joint venture between Federal Bank (India's premier development and commercial bank), and Ageas (multinational insurance in Europe). Since its inauguration, the company has grown with great passion and innovation. To secure your loved ones, the company offers a wide range of term insurance plans at affordable prices.

    Know More About - IDBI Federal Term Life Insurance

13. IndiaFirst Life Insurance Company

    IndiaFirst Life Insurance Company was founded in 2009 and since then, it keeps on serving customers with a passion. It is the youngest life insurance company formed after the collaboration between Bank of Baroda, Andhra Bank, and the UK's investment brand (Legal & General group).

14. Kotak Mahindra Life Insurance Company

    Kotak Mahindra Life Insurance is one of the fastest-growing life insurance companies in India. It is a strong player, which offers a wide range of affordable yet effective life insurance plans. With the help of expert teams, Kotak Life Insurance ensures to deliver exactly what it promises. The company aims to become the best life insurance company in India.

    Know More About - Kotak Term Insurance

15. Life Insurance Corporation of India

    Life Insurance Corporation is one of the oldest and largest life insurance companies in India. It is an Indian state-owned insurance group and investment company, headquartered in Mumbai. The company has crossed many milestones and has set unprecedented performance records. It offers multiple life insurance products to deal with the growing stages of life. As per the data fetched by IRDAI, LIC earned the highest annual premium in 2019-20 in comparison to all other life insurance companies in India.

    Know More About - Life Insurance Corporation of India

16. Max Life Insurance Company

    Max Life Insurance Company is a popular private life insurance company. It is a joint venture between Mitsui Sumitomo Insurance Company Limited & Max India Limited. It has a pan India presence with around 269 offices. The company offers a wide range of specially created, curated, and customized insurance plans for your family's specific requirements. It aims to be the most admired life insurance company in India. The company was awarded with the award for 'Excellence in claim service' by CMO Asia Awards.

    Know More About - Max Life Term Insurance

17. PNB Metlife India Insurance Company

    PNB Metlife Life Insurance Company was established in 2001. It is a joint venture between Jammu and Kashmir Bank Limited, Punjab National Bank Limited, M.Pallonji and Company Private Limited, and other private investors. The company has offices in 107 locations across the country and offers a wide range of life insurance products including 16 Savings Products, 13 Protection Products, 5 pension products, and 8 optional riders.

    Know More About - PNB Metlife Term Insurance

18. Reliance Nippon Life Insurance Company

    Reliance Nippon Life Insurance Company is one of the leading private sector life insurance companies in India. The company has been rated amongst the top 3 Most Trusted Life Insurance Service Brands by Brand Equity's Most Trusted Brands Survey 2018. Reliance Life carries multiple years of experience and has a huge variety of life insurance plans that include tailormade plans as well.

    Know More About - Reliance Term Insurance

19. SBI Life Insurance Company

    SBI Life Insurance Company Limited (a renowned name in the life insurance industry) is a joint venture between BNP Paribas Cardif & State Bank of India. The company was founded in 2001 and has emerged out as one of the most trusted companies, providing a complete range of life insurance and pension products to cater the needs of individuals as well as group customers. This company operates an extensive presence across the country through its 947 offices, 28,000+ partner branches, 111 brokers, 169,006 individual agents and 57 corporate agents.

    Know More About - SBI Term Insurance

20. TATA AIA Life Insurance Company

    TATA AIA Life Insurance is a joint venture between AIA Group Ltd. (AIA) & Tata Sons Pvt. Ltd. To assist customers in the long run, it has come out with multiple investment options. It provides plans for every stage of life and is always ready to offer the needful assistance in the hour of need. It aims to become the pre-eminent protection provider, enabling dreams, and inspiring healthier lives.

    Know More About - Tata AIA Term Insurance

21. Pramerica Life Insurance

    Pramerica Life Insurance Limited erstwhile DHFL Pramerica Life Insurance Company Limited, headquartered in Gurugram provide a wide range of life insurance solutions for individuals as well as groups

    Know More About - Pramerica Life Insurance

22. Sahara India Life Insurance

    Sahara India Life Insurance company is the first wholly-owned Indian company, without any foreign collaboration to enter the Indian Life insurance market. The company started operations on 6th February 2004 after receiving licence by India's insurance regulator – the IRDAI. It aims at delivering the best insurance solutions to Indian customers.

23. Shriram Life Insurance

    Shriram Life Insurance Company was founded in the year 2005 and commenced its operations in the year 2006. The company offers a variety of life insurance plans and solutions which are designed to cater to the needs of wider demography. It has a network of over 455 offices across India. This company also won the gold award for customer service handling- Claims, during the 8th Excellence Competition on Best Practice Sharing Fest conducted by Confederation Of Indian Industry.

24. Star Union Dai-Ichi Life Insurance

    Founded in 2009, Star Union Dai-Ichi Life Insurance is a joint venture between Bank of India, Union Bank of India, and Dai-Ichi Life Holdings. The company has a robust collective network of over 15,000 bank branches and a large distribution system that caters to the needs of more than 64 million customers across India. It offers a variety of insurance products that are designed to serve the unique type of needs of the customers.

Factors To Consider While Selecting The Best Insurance Company

Protecting your family's future, in case of your demise, is the best blessing for your loved ones. But Term Insurance can only be useful when it meets all required needs of your family during known and unknown circumstances. Hence choosing an absolute appropriate Term Insurance is a must from a wide range of insurance providers available in the market. To start with, it is always important that you compare several available Term insurance plans to get the right one for you as per your family's needs. Below are a few factors that can assist you with the same. Let's take a look at it.

Claim Settlement Ratio

Always check the Claim Settlement Ratio (CSR) of the insurance company. CSR shows the range of claims settled by a particular insurance company in the previous year. This will give you an update about the company's reliability in the hour of need. Ideally, it is better to go for a company that records higher CSR, as such a company will offer greater chances of settling your claim on time.

Riders

Nowadays Insurance plans come with additional benefits in the form of 'Riders'. These riders provide coverage against a variety of situations such as critical illness, personal accidents, terminal illness and many more. It is suggested that before selecting any term insurance company, always have a quick evaluation of the additional riders provided by the company. These riders are a medium to widen up your base term plan and you should select a company that sells the most useful riders.

Customer reviews

It is never suggested to invest in an insurance company that holds a bad reputation for not clearing the claims or addressing its customers requirements. In a time of emergency, you need the full support from your provider. Hence always check the customers' reviews about the insurer before making a deal with it.

Coverage

The coverage amount has a very crucial role to play in a Term insurance plan and hence, it is important that you must decide the sum assured amount carefully for your plan. As a thumb rule, an ideal sum assured should be 15%-20% of your annual income. In other words, you should choose the coverage amount based on the following formula: Annual income X 10 or 15 times + Loans/Liabilities (if any).

Solvency Ratio

The solvency ratio of an insurance company refers to the financial status of the insurance company. An insurance company must have more assets than liabilities, representing that the insurer has sufficient funds and is capable of urgent claim settlement.

Customer Service

A robust customer care service is an important factor to be considered while purchasing an insurance plan. A person should always choose an insurance company that has robust customer service and a knowledgeable team of experts. When purchasing a term insurance policy, customers should keep in mind that there is the availability of 24x7 customer care service to resolve all of their queries and provide assistance when needed.

Since, Term Insurance Plans are quite critical investments for the future, therefore, don't just go with any plan. Conduct a detailed research and then select an insurance provider and plan that matches your family's needs and requirements.

Why Consider PolicyX For Buying Term Insurance?

Buying insurance is a crucial decision. To make sure that you follow the right steps to make the investment decision, the team at PolicyX is available to serve you. We will help you compare quotes from different insurers and select the best plan for you and your family within the span of a few minutes. Our experts will guide you throughout the buying process and provide you with all the essential desired information.