advice on existing Term Plan

POSTED BY Vikas Pandey ON March 18, 2013 6:27 pm COMMENTS (2)

I am 43 year old now , I work in Govt sector , I purchased BSLI DREAM PLAN in Dec 2009 , I have to pay a premium of Rs 11,770 /- every year ( I have paid 4 times till date , i.e. 47080 ).

The Birla web portal says My sum assured value is Rs 40575 / –  and enhanced sum assured value is Rs 24,60,000 /- , further it shows that my net fund value is Rs 16,147 /-

I am told that in the case of mis happening ( death ) , the nominee will recieve = the Sum Assured + the Fund Value + Enhanced Sum Assured   .     ( Is it true or false , I want to confirm )

further , I was comparing it with , newly available term plans , from Religare or Bharti AXA and HDFC 

I could see that I can get total insurance of 50 lakh by paying 10,000 to 14000  per year approx .

should I switch , by making my BSLI dream policy paid up or from exiting it and take a new TERM PLAN of 50 lakhs . I am confused , some rational advice is needed  

I invest in mutual funds through SIP and invest in stock market also 

 

Vikas Pandey

2 replies on this article “advice on existing Term Plan”

  1. Dear Vikas, what’s your current yly income, family size, no. of dependents, assets & investments (please do not include the house in which you are living with your family as on date as it ‘ll be for consumption), any loan liabilities?????

    thanks

    Ashal

  2. First calculate how much insurance you need. A young person will need about 15 times annual income. if you have family with kids you will need more.
    You can use this to find out
    http://freefincal.wordpress.com/comprehensive-child-planner/

    if you have claimed 80C deduction using the policy then make the policy paid-up but first get a new online term, plan.

    At 43 if you have diseases like hypertension, obesity etc. the premium to be loaded.

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