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Term Insurance Policies for Non Resident Indians

The word term insurance becomes quite confusing to understand when it is contradicted to its counterpart ‘the whole life insurance’. Many companies also use the word ‘term assurance’ to these policies. In India, the word term insurance refers to a policy that provides financial cover by assuring an amount for the life of a person who is the policyholder during a specified interval of his life (called the term). The sum assured gets pooled in the form of premiums during the term of the policy. It is different from other life insurance policies in a way that there will not be other benefits like benefits on survival, benefits as bonus etc. Policies with low premiums and life cover for a specified term is the typical characteristic of few term insurance policies in India. Term insurance policies give financial certainty in the form of life cover to Non Resident Indians who live across the borders of India.

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