Buying a Term Insurance in India from US

POSTED BY monGenie ON February 22, 2013 8:13 pm COMMENTS (7)

Hi, there!

We want to buy a term plan for my husband online right away, but currently we are not residing in India. Can we still make a purchase?

I am asking because while making a purchase online they ask for contact number and it has to be India number!

Any suggestions … what should we do?

7 replies on this article “Buying a Term Insurance in India from US”

  1. Raj says:

    Only advantage of buying a term plan in India while you are in US that you may get a lesser premium and less hassle to secure an insurance deal assuming good health now.

    If you are planning to buy critical illness riders etc. and you are healthy buy now itself – future who knows!

    I’d say same goes for Mediclaim policies as well – buy mediclaim policy for the minimum amount possible so that your medical condition and age when you return to India wont be a problem getting a policy – you can just increase the cover the then.

  2. monGenie says:

    Sure, thank you!

  3. Dear Mongenie, please purchase a term cover of at least 5Y term in USA. In case you return back to India in next 2-3 years for permanent stay, purchase an Indian cover. In case you are not sure of your Indian Return, please opt for a term cover of 20-25 or even 30Y as per your need. Later on as & when you plan to return to India, just stop paying prem. there but do not stop till your Indian cover is active.



  4. monGenie says:

    I know that it has to be purchased for a duration of my husband’s work period.. cause it is supposed to protect the income in case of some unfortunate event. And yes, we can always stop payments in order to discontinue the plan if it doesn’t cover us later (when we move back to India).

    Your suggestion is perfectly logical and makes sense to me .. thanks a lot!

  5. monGenie says:

    Ok.. we are going to stay in US for a while atleast ( let’s say a couple of years).. after that I am not sure.

    So, we should get a term plan where we are staying … for example, we should purchase a plan in US for couple of years and whenever we come back to India we should purchase it from there.. and it makes sense cause it is an yearly contract .. though purchased for long term.. am I getting you correct?

    1. Yes to “So, we should get a term plan where we are staying’

      Not sure if you will get a term plan only for two years. You can get a plan for as long as your husband is working. The payment is usually once a year. You pay for it as long as you are in the US. You come back get a new plan AND then stop paying premiums for the US plan so that goes void.

  6. If you are going to stay in the US get a term insurance in the US. If you are coming back (for good) in a few months (or earlier!) then it is (probably) worth the trouble. The claim procedure may be complicated which goes against the idea of buying it in the first place.
    Also if you need a medical test it maybe difficult if not impossible.

    Too much trouble (you have had a taste of that already)

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