Personal Finance

Know why financial planning is incomplete without insurance


People bearing family responsibilities are well aware of the vagaries that life has to offer. And yet, couples find it uncomfortable to discuss a key necessity that will ensure financial security for their families in the event of an unexpected death of the primary breadwinner: life insurance.

While investing and savings may have become a regular topic for investors in India, death is still considered a taboo by many, making it one of the most sensitive topics to be discussed among partners. But being able to talk about death and dying opens up an opportunity for families to share any worries or wishes one may have, making the entire financial planning activity wholesome.

For the breadwinners in the family who work diligently to provide an abundant life for their families, life insurance can serve as the shield that protects your loved ones who are financially dependent on your income and ensures they will be taken care of in the event of your premature demise. That’s why, some experts rightly believe that life insurance can be your last love letter to your family.

Besides the unpredictable nature of life, skyrocketing food and fuel inflation along with the rising cost of education have only added to people’s worries as they consider making their family financially prepared for any unforeseen events.

That’s why, to be better prepared for any unexpected financial challenges you may face in future, every earning individual needs to consider having a personal life insurance policy that covers your money-related needs and protects your family against uncertainties. One such example is
HDFC Life Click2Protect Life,
which is a term insurance plan that adjusts to your needs and protects you against all odds in life.


What makes Click2Protect stand out:


Click2Protect comes with three different variations, making it easier for you to avail cover for your whole life, get income payouts from the age of 60 years onwards, and reduce or change premium payment term (PPT) by choosing from the below given options.

  1. Life and Critical Illness Rebalance: Under this option, Basic Sum Assured will be split between Life Cover and Critical Illness (CI). At the beginning of the cover, Life Cover Sum Assured is set at 80% and CI Sum Assured is set at 20% of Basic Sum Assured. For an in-force policy, at every policy anniversary, starting from the first policy anniversary, CI SA will increase every year and Life Cover SA will decrease by the same amount. Once a Critical Illness claim is made, the Life Cover SA will be fixed at the then applicable level and the same Sum Assured will continue until the end of policy term.
  2. Life Protect: Under this plan, you are covered for the entire policy term. In case of your unfortunate demise during the policy term, your nominee gets a lump sum benefit.
  3. Income Plus: This option provides a life cover for the chosen policy term and regular monthly income from age 60 onwards along with a lump sum payout on maturity. Monthly income of 0.1% of the Basic Sum Assured shall be paid in arrears, starting from the policy anniversary following your 60th birthday and continues until your death or policy maturity, whichever occurs earlier. The survival benefits already paid out shall be deducted from the death benefit payable to the nominee.

6 Reasons why you should consider Click 2 Protect Life

  1. Auto Balances Death and Critical Illness Cover: Get covered for life and any of the listed 36 critical illness
  2. Income Payouts after you stop working: Enjoy life cover and regular retirement income post 60 years
  3. Three Plan Options to choose from as per your requirements
  4. Special premium rates for female lives and non-tobacco users
  5. Highest Claim Settle Ratio of 98.01%
  6. Tax benefits as per Income Tax provisions

Eligibility and Add-on benefits (Riders)

  • Return of Premium (ROP): You can choose to opt for this under Life Protect and Income Plus options and get back all premiums paid on survival till maturity.
  • Waiver of Premium: If you choose this add-on option, all future premiums payable under the plan will be waived if the policyholder is diagnosed with any of the covered critical illnesses. This option will be available only where PPT is at least 5 years and Life Protect Option with Fixed Term is selected.
  • Accidental Death Benefit: This option will be available only under Life Protect plan. If you choose this add-on option, an additional amount equal to 100% of Basic Sum Assured will be payable to the nominee in case of death due to accident during the policy term.
  • Alteration of premium payment frequency: You can alter the premium payment frequency during the premium payment term without any charge.
  • Option to reduce Premium Payment Term from Regular Pay to Limited Pay: Policyholders have the option to convert the outstanding regular premiums into any limited premium period available under the plan options without any extra charge.

Daily conversations among couples should include finances and term life insurance, especially if you have small kids or senior citizens in the family. The term insurance policy that you choose will have a strong bearing on the quality of life that your loved ones can lead in your absence. Choose a term insurance plan that understands your needs and can be altered as per your lifestyle to provide comprehensive financial protection.



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