Bengaluru: High networth individuals (HNIs) have warmed up to high value term insurance, with coverage as high as Rs 20 crore, according to Policybazaar.com.
The online insurance vendor also said that this strata of clientele are also turning to online platforms for such high-value transactions, allaying the belief that they shun such avenues.
The key metropolitan regions have seen an uptick in insurance coverage choices, moving to Rs 5 crore policies which was previously seen as a very high coverage. In fact Rs 5 crore has become the new standard in HNI term insurance.
HNIs are also seen buying policies offering covers up to Rs 20 crore in the National Capital Region (NCR), followed by Pune, Hyderabad, and Visakhapatnam. Bengaluru, Chennai and Mumbai have also shown a noticeable increase in policies ranging between Rs 10 to 15 Crore being bought by HNIs.
According to Policybazaar.com more individuals are choosing to customise their coverage with suitable riders for an additional layer of protection. Additionally, more customers are opting for plans with a one-time option of a Special Exit Benefit over Return of Premium plans. While both offer the benefit of exiting your policy and getting the premiums back, the Special Exit Benefit plans come at a much lower cost. It also noticed an increase in female buyers, both working and non-working, who are taking the lead in purchasing term insurance policies.
Published 03 July 2024, 22:54 IST