Term Insurance Calculator

by SMCIB on Friday, 09 June 2023

Term Insurance Calculator

Life is like a winding road, constantly presenting twists and turns you don't expect. There is no telling what surprises may lie ahead, so it's important to stay alert and be prepared for anything. And, if you are the sole breadwinner of your family, it becomes all the more important to secure your family by ensuring they have sufficient resources to fall back on - should the worst happen. A well-thought-out financial plan is the key to protecting your family from unexpected challenges that life may present.

This is where Term Insurance comes in. It will pay your family a fixed sum of money to help them meet their long-term goals such as debt repayment, children's education and marriage expenses, etc. as well as short-term goals such as everyday expenses, EMIs, etc – in case of your untimely demise during the policy period.

This fixed sum is the cover amount (also known as the ‘sum assured’) you need to choose at the time of purchasing the policy. Ideally, this amount needs to accommodate all the goals your loved ones want to achieve. Picking the right cover amount is of utmost importance as this is the financial protection that your family will need to protect their dreams and move on with their lives - in your absence.

And, to secure this protection, you need to make timely premium payments to the insurance company. Since term insurance is a long-term commitment, you should select a premium that is comfortable for you over the long run.

Figuring out the cover amount or the premium payable under any plan without any professional help can be a bit of a hassle. But, what if we say there is an easy way?

Yes! We have two tools up our sleeve to help you with just that - Term Insurance Coverage Calculator and Term Insurance Premium Calculator.

Let's learn about these tools in detail – in this article. ?


What Is A Term Insurance Coverage Calculator?

A term insurance coverage calculator helps you determine the coverage you need to protect your family's financial future. By doing so, you will be able to figure out the amount that will suffice your family's needs and requirements when you are not around anymore. With this easy-to-use tool, you can make the right financial decision for your family's future - without spending a dime.


How Does It Work?

Here’s how you can find the right cover amount with a term insurance coverage calculator -

?First, you need to enter your personal details such as your age, gender, retirement age, etc.

? The next step is to feed in your financial information such as your income, any existing life insurance, etc.

? Some platforms may require you to enter information about your financial dependents like your spouse, parents, children etc. who will be covered by the term insurance plan.

Once you submit these details, the term insurance coverage calculator will churn out your estimated cover amount - in no time!


What Is A Term Insurance Premium Calculator?

A term insurance premium calculator assists you in calculating the premium amount that you will need to pay for the term insurance coverage and any added benefits or features you choose. This tool is easy to use and saves you time and effort - all at no cost.


How Does It Work?

Here's how you can find premium quotes using a term insurance premium calculator -

? First, you need to enter certain details such as your age, income, gender, policy duration, cover amount, etc.

? Once you submit the details, this calculator will give you premiums for different term insurance policies.

? Also, you can check how your premiums vary when you customise your plan by adding riders or any benefits/features you need, increasing or decreasing the cover amount, etc.

All in all, this tool helps you make an educated decision by comparing various policies available on the market. It's a great way to ensure you are getting the most out of your investment without compromising on your desired coverage or features.


Wrapping up!

With term insurance calculators, you can figure out the coverage you need and the premiums you'll have to pay. The best part about using these tools is that they provide you with an estimate quickly and easily, so you don't have to worry about spending hours doing complicated calculations - all at no cost! You can ensure you have made the most informed and financially sensible decision for your insurance needs.

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