HDFC Life Click 2 Protect – Me Too

The war of cheap insurance premium continues in the Online Term Insurance category and latest to enter is HDFC Life Insurance with their plan HDFC Life Click 2 Protect. The plan, like it peers aim to provide pure life insurance cover at a bargain cost. The online term plans are targeted at young savvy investors who lead healthy lifestyle. This write-up aims to review HDFC Click 2 Protect plan and will help you to take a decision based on our criteria of choosing Best Term Plan.

Features of HDFC Life Click 2 Protect

The good thing about the website is that it is very easy to use & does not ask for your mobile number or email id to calculate your premium.

HDFC Life Click 2 Protect plan features

Entry Age 18 years to 65 years (both inclusive)
Maturity Age 28 years to 65 years (both inclusive)
Minimum Sum Assured Rs 10 Lakh
Maximum Sum Assured Rs 10 Crore
Policy terms 10/15/20/25/30 years
Premium Paying Term Same as policy term
Premium Paying Frequency Annual mode only

HDFC Life Click 2 Protect
Other basic features of HDFC Click 2 Protect

  1. Minimum premium will be Rs 2000/-.
  2. 30 days grace period is provided for payment of premium from the due date.
  3. Once policy starts no alteration in sum assured or premium is allowed.
  4. The policy comes with a Free Look period of 30 days. It can be returned stating the reason for the receipt of the policy. The premiums will be refunded deducting the Stamp Duty paid, pro-rata cost for the period under insurance cover and medical expenses if any.

HDFC Life Click 2 Protect is avilable in 750 cities:  Normally insurers launch online term plans to cater the tier 1 cities, but HDFC Click 2 Protect is available across 750 cities there by covering the tier 2 and tier 3 cities as well. It is also available (optional) with the help of the distributors as they are marginally compensated by the company.

What HDFC Life Click 2 Protect does not provide

Like a “plain easy to understand and apply” category this plan has a few limitations:

  • The maximum age under cover is 65 years only. The competition is offering plans with 70/75 years cover. With increasing life expectancy people want policy with more years of coverage. (But I am not sure why people need insurance after retirement)
  • The plan has no Riders. Riders are generally sweeteners which add to the base plan and provide additional security at a nominal cost. But this plan apologies on this aspect. (No issues, it’s always good to have separate Comprehensive Accidental Insurance Policy)
  • The premium mode offered in competitive products also has options of paying monthly, quarterly, semi-annually or one time premium payment. Under this plan there is just the Annual option. So if you are thinking of dividing premiums or paying them at one go, the feature is not available. (Thank god, you don’t need to make sure every month that premium has gone or not)
  • HDFC Click 2 Protect is cheap but not the cheapest in category (But being cheapest is not the only criteria to buy a product). Read: Psychology of an Indian when it comest to Life Insurance

Premium of HDFC Life Click 2 Protect

Now, let’s check the premiums. For a Male life, non-tobacco leading a healthy life style the premium for a 25 years term will be as follows:




25 Lakhs

50 Lakhs

100 Lakhs

















These premiums are exclusive of service tax and education cess.

In case the policy buying procedure is carried out with the help of a distributor (optional), an additional 3.5% premium will levied as loading.

Premium Comparison of online term plans

As mentioned above the plan is cheap but still Aviva iLife, DLF Premerica U-Protect rule the premium charts.

Let’s take an example – we compare the premium with that of peers. Below table illustrate the premium for a 27 year male, non-smoker, based in Mumbai taking a policy for 25 years for a Sum Assured of Rs 50 lakhs.

Insurer Plan Name Max Tenure (Yrs) Max Age (Yrs) Premium
Aviva Life i-Life




MetLife Met Protect




AegonReligare iTerm




Kotak Life  e-Preferred




ICICI Pru Life icare




HDFC Standard Life Click2Protect




Data is taken from different online sources – you should do your own research before finalizing any term plan.

HDFC Life Click 2 Protect Vs I Care from ICICI Pru

I-Care from ICICI Pru looks to be the closest competitor of HDFC Life Click 2 Protect – let’s compare them on Quantity (Features) & Quality (Selection Criteria): (Read: How to choose Best Term Plan)

HDFC Life Click 2 Protect Vs I Care from ICICI Pru

  • *ICICI is providing Accidental Death Benifit upto Rs 50 Lakh with some additional premium in i-care II.
  • #No medical examination is required till the age of 50.

Should you buy HDFC Life Click 2 Protect Plan?

This is the final question. The answer is not straight but clear. Insurance is a part of overall financial planning. Any insurance buying decision should not be impulsive. It should be backed up with requirements and suitable facts which can only be derived once you have a Financial Plan in place. One should take this plan if:

  • Term plan is the best gift that you can give it your family in shape of security. If you don’t have a term plan but have financial dependents go for HDFC Life Click 2 Protect.
  • This plan comes from a company which has a high claim-settlement ratio, conservative, strong brand and is backed by the India’s biggest Home Loan company. If you feel these are good points, definitely go for it.

Note: If you are fans of LIC, there is good news for you. LIC online Term Plan is expected to be launched before March.

You can also read review of Apollo Munich Optima Restore, it is newly launched health insurance policy with some unique features.

If you have questions related to HDFC Click 2 Protect or any other term plan, add it in comment section.

HDFC Life Click 2 Protect Vs I Care from ICICI Pru


  1. I have some questions. These companies are attracting prospective customers by introducing cheap premium and usage of technology. But are they good enough at the time when one need to settle the claim. Of course its not the same person will go for claim. Its their dependents. And they may not be financially literate or in a position to run behind these firms. These companies offer policies even without medical checkup. And now a days in India awareness towards term plan is increasing. Read between the lines. What basis we should trust? Or in another words, is it good to take policies just based on cheapest policies? In a country where the government run Insurance company, LIC, is all set to cheat innocent people, what credibility and trust these firms have.

    • Hi Shinoj,
      There are couple of reasons why insurance companies are able to sell cheap term plans – they claim:
      1. Some Saving on Commission
      2. Lower cost of servicing clients
      3. Better quality of life & accessibility to health care – a person who stays in big cities in comparison to small cities/towns
      4. Insurance companies are using old mortality tables – new mortality tables will reduce overall mortality rates
      5. Reduction in solvency margins on term insurance.
      Be it online or offline, insurance is a contract of utmost good faith & if you have shared the right details your claims will be cleared.

    • Dear,

      As per my research, LIC of India premiums are too high. Inflation and time value of money should be considered at the time of claim settlement. Most of the LIC policies are a time waste. Most of the products does not contain any accelerated premium paying options.

      I am quite suspecious about the trust of these private insurance providers because all private insurane providers are joint ventures with foreign insurance companies.Too much of law loop holes are in Joint ventures. What safety measures are taken by IRDA to protect the money of policy holders? Health insurance providers are the biggest cheaters. [ Check the statistics of health insurance sector in Kerala]


  2. Dear HEMANT,

    HDFC with its ONLINE TERM PLAN is a good news for public at large, willing to take COMPREHENSIVE LIFE COVERAGE..And with the kind of CLAIM SETTLEMENT RATIO over the years HDFC SL has, i dont think its a bad bet at all, though plans like these are PET PE LAAT for agents like me 🙁

    Coverage till age 65 is good enough for me, as we as FINANCIAL ADVISORs believe that by that age, an individual would have completed most of his FINANCIAL OBLIGATIONS (Like EDUCATION for his kids, MARRIED his son/daughter, and accumulated enough ASSETS for his retirement etc), hence no FINANCIAL LOSS to his family in his absence at that age. So LIFE COVER till age 65 is more than enough. Agree with you, someone in his RETIREMENT paying premium till the age 70 to 75 looks FUNNY..

    On the contrary, wants to post a statement from MR DEEPAK SOOD, MD of FUTURE GENERALI that ONLINE plans have commoditified the TERM PLAN. A person purchased a CHEAPER TERM PLAN from AEGON RELIGARE in 2008 for Rs 7,000 shifted to ICICI PRU ICARE in 2009 for Rs 6,300 and than to KOTAK E-PREFERRED for Rs 5,700 and now opting for AVIVA ILIFE in 2011 for Rs 4,900 is absolutely ridiculous..Moving from one COMPANY to another just for cheap premium is having an impact on PERSISTANCY/RENEWAL ratio of the insurance companies..Dont know where would it all end..

    Bottomline – I myself has purchased an offline TERM PLAN for myself. When i believe my WIFE wont be able to follow up with insurance company through telecallers and online customer support, i doubt for everybody in INDIA (Not for the tech-savy who have purchased TERM PLAN ONLINE but the wife/kids/mother who hardly have an idea that there is such a policy at home)..

    • Dear Dhawal,
      Long time no see 🙂
      I agree that it will impact sales of good advisors but I was talking to someone senior in insurance company & he said numbers in online term plan are still very low in comparison to offline product basket.
      I agree with words of Deepak Sood – people should not switch insurance policies like mutual funds.
      I also agree that it will be easy to follow up at the time of claim if policy is purchased offline – if advisor has earned something, he will happily help the family in claim settlement.

      • Hi Hemant,

        Thanks for endorsing my views..

        Just to add to the above equation, i’ve also seen through interaction with my clients and prospects that ease of ONLINE have also placed seeds of PROCRASTINATION as well. One of my client tole me about 4-5 months back that “Arre Dhawal ji, jab sab kam 10 minute main ho jayega to aap ko kya taklif deni. Mein khud hi online kharid loonga.” But that ease of “10-minute” has put him into sleep for so long that he hasn’t buy TERM PLAN till date. Its always like “Ki yaar thodi der ka hi to kaam hai, SUNDAY ko kar loonga, ya 1 tarikh ko kar loonga, ya next month ke shuru main kar loonga.” PLUS onset of ONLINE TERM PLAN every other day from a new company is also pushing the client/prospect to delay the decision. All these EASE factors are resulting in delay of decision and action..

      • Hello Hemant,
        I beg to differ with you regarding the advisor serving the family. I bought a term policy (HDFC only, 8 years back when online policies did not exist!) through an agent, who I have not seen for some years now! In fact, correct me if I am wrong, unlike LIC which pays their agents for years when the policy is in force, I am given to understand that these other companies do not do so and hence also one cannot expect such service from the advisors! In fact, it was only until the advisor got me onto a ULIP product was the follow-up maintained; not after that, in the sense that probably since nothing more is expected from me in terms of new policies!
        So what is the motivation really for the advisors to service the clients once the policy is issued and done?

  3. Excellent article Hemantji, after a long time reading the insurance part of the planning.
    Does ADB means that the nominee will get both Death benefit plus Accidental death benefit? Also, if we just go for term plan without ADB, and one dies due to accident, does the nominee still get the death benefit?
    Thanks for sharing.

      • Thanks for your reply Hemantji. I do have a term insurance and one Ulip I got into 5 years back, thought I might as well continue as the premiums are not pinching me, it’s a whole life participating from MNYL and the premiums keep reducing bit by bit. My parents are my only dependents but they are not dependent on me, technicality :-). Planning to buy a bigger term plan when I have dependents.

  4. Hello
    One policy brand is missing from the above mentioned list .. IndiaFirst (relatively)new name but providing cheap coverage than all of the above reputed ones.
    I opted for life policy for 10 lacs cover for just Rs.1500/- with prem payments options like half yearly/yearly. etc.

    • Hi Bharat,
      From Long time people were waiting for some online term plan from HDFC & I believe they have met the expectations.

  5. Hi Heman
    One Stupid Question 😀

    Q: Suppose a person is paying a 12000 Rs Annual Premium and take the cover for 30 years, so he has paid 3,60,000 Rs, now there is no misfortune happen and person is still living, then after 30 years, what value of money these insurance companies will pay to you or they will not pay any money or they will pay the same amount of 3,60,000 Rs.

    May it sounds stupid, but I want to clarify.

    • Hi Anwar,
      You are not paying for the insurance settlement amount. Instead you are paying for the contract for that much period. Thats why you will not get anything after contract period.
      One question to you: Suppose you have a vehicle and you have taken motor insurance. And for the next 5 years you pay nearly one lakh for that. But you haven’t made any accidents. Will you get any amount back?
      The answer and explanation for both the questions are same.

    • Hi Anwar,

      Mat be with out having any knowledge on TERM PLAN, you have read the article. In TERM PLAN, there will not be any maturity amount if the policy holder is alive even after the policy term. The nominee gets the amount only when policy holder is expired with in the policy term.
      In simple terms the Insurance companies will pay the amount only when policy holder expires (That too when the nominee claims :D).

      Hemat Ji, Correct me if I am wrong. And my question for you is, if policy is taken online, cant the nominee claim offline ?

      • Hi Viswanath,
        Settlement of claims depends on the terms of policy contract rather than mode of sale. Therefore, claims under policies sold online would be settled in same way as policies sold on other modes so long as the terms of policy contract are the same.

  6. very good article. one should buy through agents only, because only 3.5% premium will have to be paid extra. but at the time of claim, the agent can help in settlement when the insured is not there.
    with regards

    • Hi Indrajeet,
      Definitely this is an added advantage in offline products + additional feature in HDFC Click 2 Protect. But one should look for a serious agent/advisor who is dependent on this business to earn his livelihood (like Dhawal) – if someone is taking it from part timer, their is no guarantee that he will be in business for long.

  7. Hi Hemant,

    I’ve been reading your articles for about a month now. Its brilliant its changing the way that Me and my Wife think about Financial planning for ourselves and our one year old!

    I wanted to get into a Term Plan and based on some inputs, I had approached Aviva for a Term Plan. I’m 35 years old and I want to get to a 1 Cr. cover asap. I’m particular about knowing some particular conditions of the policy.

    I’m an IT professional residing in Bangalore. My job requires me to travel around the world – both for Short and Long assignments (1-2 years). As I deal predominantly with Banks, my usual locations would be financial hubs like London, Chicago, NewYork etc. Does the Term plan cover the Risk during the times that I’m travelling and setup in a different location? and would my family get the benefits in case of an unfortunate event?

    Just to quote – I will be travelling under a standard Company Travel Insurance, but that would not cover me for this amount.. That’s the reason for the query.

    • Hi Prakash,

      No need to worry about it as you will be covered during your foreign travel. But regarding the choice of proper term plan, you should go for either LIC, ICICI pru, HDFC, Birla, Kotak (in order) based on their claim settlement ratio. I have ICICI pru and LIC term plans, both cover this scenario. This scenario is covered under “accidental death” .


  8. Hi Hemant,
    Another great gem of knowledge from your basket. I am a big fan of your articles, reviews and presentation.

  9. echoing indrajit’s query, can the claim be made offline for an online term policy………even if it is taken offline what is the guarantee that the agent who was present at the time of issue will also be there(alive/ same organisation) at the time of claim??

    • @Seenu,

      Would like to bring one ASTONISHING fact to your knowledge..i am sure you would be glad to know this..

      A person becomes an AGENT after passing an IRDA exam, and he has to appear in the exam ONLY through a particular company after completing the requisite training. And when he clears/pass that IRDA exam, the guy becomes an AGENT of that particular company ONLY through which he has completed his training. Later on, he CANNOT change the ORGANIZATION as you have put in your query. Be rest assured, your agent cannot change his company just like that. Its actually the employees (Sales managers/relationship managers) who can move from one company to another but NOT the agent. So here is the GUARANTEE that your agent will be with the company ALWAYS.

      For the second part, if God forbids, the agent is not alive – company always initiate the POLICYHOLDERS that your agent Mr XYZ is no longer in the world and henceforth, your policy will be served by Mr ABC..Again, no hassels with that.

      Now, actionables on your part – please check whether the agent is a FULL-TIME or part-timer. Because a part-timer might leave this profession after a while (Stating that i am no more interested – i am bored), leaving his clients in the lurch. So just focuss on someone who is carrying out this profession on a FULL-TIME basis..

    • Hi Seenu,
      There is no difference in claim settlement process. If you buy a online term plan – still claims can be settled offline.
      Settlement of claims depends on the terms of policy contract rather than mode of sale. Therefore, claims under policies sold online would be settled in same way as policies sold on other modes so long as the terms of policy contract are the same.

      • Dear Hemant,

        Kindly suggest!

        Looking the Plan for 60 Years Premium amount Rs 12,550 with Tax . Claim amount Rs 1Cr.

        1. Should i go for HDFC 2 protect plan?
        2. What are the limitation and challenges at the time of claim? And overcome?
        3. Why LIC is having goodwill in terms of claim not HDFC?

        Looking your valuable suggestion!


        Rajiv Ranjan

  10. Hi Hemanth,
    my cousin is willing to take HDFC Life Click 2 Protect Plan or Aviva term policy. but I am posting this comment on behalf of him.

    He is at 33 ages , he was sick and treated 15 days in hospital and treated 1 year.
    His illness was TB. Currently he recovered and stopped treatment for TB.
    he is on Diabetes, diagnosed one and half year before but in good control HBA1C 5.4 or 5.5 since last 1 year. he is still taking tablets for Diabetes.
    Can you suggest, as a Diabetes person can he take the any of the above policy? if yes, what could be the premium values ? is that sufficient if he inform to the agent about his health history orally ? does he need to write in the form or any documents or declaration he should submit?

    • Dear Srinivas/Hemant,

      As you have stated the medical history for your cousin, i dont think there would be any problem as to him getting the policy. The only point of note would be LOADING. With the kind of MEDICAL HISTORY your cousin have (Recently diagnosed with TB and is on DIABETES MEDICINE), any insurance company you apply with will most probably LOAD the premium, i.e. instead of Rs 6000 or 7000, they will spike it to Rs 10000 or something.

      As i am an agent of KOTAK, i can tell you that premium would be Rs 9,333 for your cousin for SUM ASSURED of 50 lakh. This is before LOADING. LOADING can increase it by 3000 to 5000.

      With your query, it looks like you people are interested in taking the TERM PLAN via the ONLINE route. So there will not be any AGENT involved, you yourself have to submit all the information while filling the form.

      • Hi Dhawal.
        Thanks for suggestion.. we understood the Premium is same for ever year till it reach to cover period. we don’t understand, Load will increase. could you explain me more why it increase by yearly wise.
        If he buy a Term plan online, what are the challenges / documents his wife should submit for claim . and how she should reach the insurgence company ?
        does any advantages or disadvantages between offline and online term plan?
        I am aware that policy charges is less in online than offline.

        • @SRINIVAS –

          Premium will remain the same for the entire term after adding the LOADING amount..For eg: If the premium first quoted to you is Rs 7,500 by the insurance company and after MEDICAL TESTs and your cousins report, insurance company load it with Rs 3000; then your premium amount becomes Rs 10,500 as fixed for the entire duration.

          LOADING is done by the company because your COUSIN with his medical history belongs to the different risk pool as compared to the other HEALTHIER people in the group.

          as HEMANT JI’s articles (earlier ones + this one) suggested that PRICE is not the ONLY factor. Take into consideration the CLAIM SETTLEMENT RATIO too before finalizing your decision.

          So weigh the company of your choice on all these parameters, and then decide which COMPANY to follow and which mode to go for..Its entire YOUR choice – there is nothing better or advantageous in OFFLINE or ONLINE mode. Its YOU, your understanding, and your convenience..

      • Dear Dhawal

        I’m really happy to read the way you’re replying to the queries.
        I’m associated with HDFC Life as Manager HNI Sales, I want to empanel you as an Indepedent Financial Advisor.
        Request you to kindly get in touch with me.
        Nishant Qazi

        • Dear Nishant Ji,

          Thanks for appreciating my humble efforts..
          and thanks a ton for your offer, but i am already associated with KOTAK LIFE INSURANCE as an agent for last 2-1/2 years now.
          ..all the same, would definitely like to meet you for some view exchange. I am based in DELHI – Near your Paschim Vihar branch. Do let me know your whereabouts..

          • Hi Dhawal, Can you please provide me with your email id ? I am looking to get some quotes form Kotak and i am an NRI, not sure where to start.


            • Dear Herambh,

              Could you please help me with a good term plan I should go for, I have seen the HDFC CLICK 2 PROTECT, I am and NRI and I wanted a brotherly adivice dear.


  11. Dhawal, Thank you for quick reply..
    but still have query.
    If he buy a Term plan online, what are the challenges / documents his wife should submit for claim . and how she should reach the insurance company ?
    what all should we educate her since she is poor knowledge on these..

    • @Srinivas,

      If you buy ONLINE, the entire process will be in step-by-step mode, asking you for details and documents at different stages..And vice-versa at the time of claim or other modifications from time to time, which we call POLICY SERVICING..

      May i ask why would you force someone to KNOW something which he/she is not good at – which is not his/her area of concern. Why dont you leave it to the one marked for these things – the AGENT. You must have heard that age-old hindi saying, “JISKA KAAM USSI KO SAAJE…” All these enquiries on blogs, searching internet for more information, and forcing a poor lady with unwarrented information, just to save few bucks so that we can buy ONLINE??

      • Hi Dhawal,
        few bucks or more , but its money and its fact of everyone wish to save money.., its not forcing to some one learn, everyone have their own concerns, my/his point of view is to give /keep some basic info along with policy documents,that it will help when the main person not there.
        however I don’t want to debate more.

        @Hemant, Let me know if you can give some details if you have, how to approach to insurance company for claim settlement and required documents if we bu online term policy. I guess below are required. , Policy document , DC, marriage cert, identity proof

  12. Hi,
    Thanks for the review on Click2Product. After doing thorough research on online term policies and the claim settlement ratio of the private insurance companies i felt comfortable to buy an online policy from this great company -HDFC. It just took 10 minutes and i got a cover of 50Lakhs for an annual premium of 8500 for a policy term of 30 years. I have been working as a software developer for a major US insurance company and till recently i never thought about life coverage for myself. As my liabilities increased in last 2 years (home loan, kids arrival etc) i thought its better to have peace of mind with the term insurance from good companies like icici, hdfc. I am not mentioning LIC here because it charges too much for a too low risk cover. LIC robs millions of ordinary, financially illiterate people to feed its agents.

    • Hi Chandu,
      I really appreciate that you understand that you have some responsibilities even if you are not there.
      As you understand the importance of term plan, my suggestion is you should push (ya force) your friends & colleagues to buy term plan – this is going to be a great noble work.

  13. Hi Hemant,

    I read your articles regularly and had subscribed to your news letters. I am waiting for LIC’s online/new term plan. As you have mentioned in this article that it will get launched before March. How will I come to know when it will get launched?


    • Hi Pritesh,
      It is going to be very interesting to know what LIC can offer & how they can differentiate. Every tom tick & harry from media will be shouting on launch of LIC online term plan.

  14. Hi Hemant,

    Can NRI’s also take these term plans? or do the insurance companies ask for some document etc?


    • Hi Sumu,
      Most of the online term plans are available to resident Indians buy Aviva ilife can also be bought by NRIs.

      • Hello Mr Hemant,
        Can you provide info source that NRI can buy Aviva iLife.
        I have gone through their site and it is clearly written that this plan can be bought by only Residents. ( Read Online term plan)
        Please confirm and then provide any info dear.

          • Hi Hemant,

            Latest development. HDFC click 2 protect can be purchased by NRI’s . But the online form does not allow NRI’s to apply. Therefore one is required to click on “Resident” and complete the form. Secondly the NRI applicant will have to give a separate letter mentioning that he is an NRI and needs to mention his nature of work, designation and income in the letter. HDFC underwriters will then take a call on a case to case basis after considering the medical reports and financials. It is suggested that acknowledgment should be taken of the separate letter that will be submitted for the proposal.

  15. Hi Hemant,
    Thanks for the review. I want to your expert advice on these two company Term insurance plans. After going to bit of research n analysis, I shortlisted these two Term insurance plans i.e Kotak e-preferred and HDFC Protect.
    Kotak :
    Advantage : * Step up and Step down option at different phases of Life.
    * Decent claim ratio.
    * Provision to convert to other Kotak Life insurance plan after 5 yrs.
    Lacking : * No Riders. (which doesn’t bothered me much)
    * Term only 30 yrs max. My age is 27yrs. (27+30 =57 yrs).
    * No coverage for Terrorist attack. (Some say it Marketing Gimmick 😉
    Advantage : * Good claim ratio
    * Company reputation with better track record.
    Lacking : * No riders.
    * Term only 30 yrs max.
    * No coverage for Terrorist attack
    Let me know your thoughts.

    • Hi Jai,
      Both are good & normally we suggest dividing your sum assured in 2 policies. You can buy both.

      • Hi Hemant,

        Can we take multiple term insurance policies from different companies ? And what is the limit across all life insurance coverage a person can take. I am more interested what is the maximum claim will a person gets when unfortunate event occurs. Suppose the person is earning 10 lakh per annum what is the maximum claim he will get across all policies in case of unfortunate event.


        • Hi Vasu,
          Its not like mediclaim or accident insurance where company pays x% of SA. In life insurance whole SA is being paid to the nominee in case of death. And there is no limit as such on maximum SA. For some online term plans there is an upper limit of say X crore. Anyway If you have policies from different companies and an unfortunate event occurs all companies will pay whole SA you have taken (provided they haven’t rejected any).

      • Hi Hemanth, May I know the advantages of splitting the 1cr policy into two 50 Lacs polcies, may be with same or different company?

  16. Hi,

    When is one supposed to declare oneself as a smoker?

    Is it one cigarette per day or more? What if someone has smoked only once in life? or if someone smokes only during parties let’s say once in 2-3 months?

    Does the medical test discover/ verify whether the facts stated in the declaration form are correct or not?


    • Hi
      It depends on the policy you are buying – max newyork is having 3 categories for smokers – kotak is having special rates for non smokers. But you should not hide anything be it once in a day or once in a month. Smoking is about habit 😉

  17. Hi, hemat.

    Just want to know the premium paid for life insurance, online or off line, if includes adb,ci,disability etc riders,then the whole premium paid is exempted for tax or only life insurance premium.

  18. Hi Hemant,
    My query is I am planning to take term insurance plan.I am 59 years old.I dont have any major medical problem.I have high Blood pressure problem.My wife is 53 years old .She is a house wife.And I have one son .He is 26 years old and earns around Rs.25000/month. I have taken a home loan of about Rs. 40 lacs. Can you please suggest me which plan should i opt? i also want to take term insurance plan for my wife .Plz suggest ..

    • Hi Mr Jain,
      You can go for HDFC or Kotak online term plans but I am not sure why you want a term plan for your spouse.

      • more ques i want to take health insurance…i want to take family floater under that…my friend suggesting me to either take oriental health insurance or lic jeevan arogya…can u suggest me which plan to choose and if not these, than which one to go for..??


      • Hi Rahmi,
        I don’t think there should be ME TOO in choosing financial products (I know title of the article says Me Too) – you should analyse your requirement & select a product accordingly.

  19. Good Afternoon Hemant,

    My name is Divakar Puri, 35 years old and having an investment in MF 10.34 lacs, PPF 5.60 lacs (wife & mine), Recurring deposit in SBI 6.0lac and PO recurring a/c. 6.0 lacs, HDFC SL Crest 5.0 lacs.

    Kindly advise me for my investment for my kids future and for term insurance plan. The current HDFC click 2 protect term plan is ok. I have to take for 100 lacs. I have 3 dependents on me (wife and two kids).

    Thanks & Best Regards,


  20. Hi Hemant

    Which is the Best ONLINE TERM PLAN for NRI’s, because HDFC Click 2 is not available for NRI’s.
    Please advice ASAP, because till now I did not take any Insurance plan for me.


  21. Hi Hemant
    Ther is another plan from HDFC . May u kindly comment on this issue.
    Subhasis Gupta

    Plan: HDFC SL CREST.
    Key Benefit:
    1)Highest NAV Guaranteed fund option.
    2) Minimum Guarantee:At present this plan NAV Rs.09,this funds
    guarantees that the guaranteed NAV applicable at maturity of your
    contract will be the higher of Rs.15 or the highest NAV recorded daily,
    during the fast 7 years from the launch of the Highest NAV Guarantee
    3)Premium paying term only 5 years.
    4) Tax Benefit :under section 80c,and 10(10)D.
    5) Minimum Premium :50k. maximum no limit.
    6)Insurance cover :minimum10th times of annul premium, maximum 20th times of annul premium.

  22. Dear Hemant,

    Very useful analysis, as always! I have been a Term Insurance fan and have Aegon Online term plan. I am planning to increase life risk cover by buying another term plan but I am loss when it comes to covering risk due to disability -or worst, losing job (and income) due to may be an accident, which is not “technically” disability as defined by insurers. Can you please guide me on how I can cover this kind of risk? I think, if one covers life risk by a term plan, disability (I define it more as inability to work anymore -and thus, not being able to provide for the family) and cover medical expenses by good family floater medical insurance -one would have covered a good ground and can feel, -should I say ‘liberated’? 😉
    Please advise.

  23. Hi Hemant,

    HDFC Life looks good. But I just searched a bit n asked my LIC agent about the premium of LIC Jeevan Amulya for SA of 24 lakhs and the premium is 3200 whereas HDFC will cost me somewhere around 3500 for the same i.e for me 27 yrs old. And as far as claim settlement ratio is concerned both have high percentages. Do you think when the online term plan of LIC comes..the premium will be even more lesser?

    • Hi Manoj,
      Amulya Jeevan is having minimum sum assured of Rs 25 Lakh – I thing your agent must be talking about Anmol Jeevan. But I really doubt these premiums as couple of days back I was doing some calculation – LIC premium were 2-3 times in comparison to any online term plan.

      • Hi Hemant,

        I bake a pardon..Yes its Anmol Jeevan. Amulya Jeevan is a bit more costlier for 25 lakh SA. bcoz my agent showed me the list for all ages. For me i.e for 27 yr old..SA of 24 lakh anmol jeevan costs me 3200 whereas SA of 25 lakh Amulya Jeevan will cost me 5400..Here u can see the difference between the premuim for just a difference of 1 lakh SA. Anyways I will still confirm it with other agent.

  24. hi hemant,

    HDFC Click 2 Protect I feel is what very well timed.The premium though may be cheap but with current inflation and the present scenario of raising of incomes of salaried persons this scheme of HDFC would attract people.Though it would be not that hard for a person earning 5 lakh pa to shell out Rs.10,000 buck every year to be secured of Rs.50 lakhs. I think every salaried person he or she , should atleast to look into this.And as mentioned earlier HDFC which has a good track record of cliam settlement there would be good number of takers , correct me if iam wrong.

    • Hi Kaushik,
      You rightly said that “every one should have a term plan” but most of the Indians think insurance is Investment 🙁

  25. Hi Hemant
    I am a regular reader of your posts. Currently my age is 24 yrs. I am looking for term insurance plan which covers me for later part of my life. But since most of term insurance plan is for 30 or 35 yrs my insurance cover would end when I would be 59 or even just 54 yrs. So should I wait for another 4-5 yrs or should I take it now because what I feel that insurance will be required more in the later part of my life.

    Thank You

    • Hi Sumit,
      This is a misconception that you need term plans in the later part of your life – insurance is much more important in earlier days of working life. If you have dependents immediately go for term plans.

  26. Hello Hemant,

    Good post. I have certain questions here.

    1. Can a nominee claim amount after death of insured person who died out of india (insured person is Indian citizen)?

    2. I have heard that Insurance companies can reject the claim if you have not mentioned all your earlier policies while taking the policy from them. How does it matter to them whether i have taken any other policy earlier or not?

    3. Sometimes insurance companies reject claim due to some preexisting deases… Can this happen to Term Plan? I mean all Term plan should have medical check up as it is a question of lakhs of money. And if there is nothing wrong comes in Medical checkup, There should be no question of claim rejection… right?

    4. What are the factors or the documents insurance companies ask to Nominee if a person has bought an online policy…. Nominee will not have any document ,right? OR insurance companies do send documents after availing online Term Plan…?

    ~ Mr. VD

    • Hi VD,
      Please find my response for your queries
      1. Yes they can.
      2. Insurer can’t provide you unlimited insurance that’s the reason insurance depends on human life value. So if you already have some other policies they will offer you lesser sum assured.
      3. Your suggestion is good but I am not IRDA 😉 Insurance is contract of utmost good faith & they expect that you will not be hiding anything. Read how Mudit forced insurance companies to do medical test before taking online term plan
      4. You will be getting policy document even in case of online insurance policy.

  27. Dear Hemant,

    Even before the ink has dried on this post of yours, here is the latest enterent into the ONLINE ring – BHARTI AXA

    • Hi Dhawal,
      Now online term plans are becoming must to have products for insurance polices – this is very good for people 😉

  28. Dear sir

    I would like to go for a Term insurance. As my age is 36 years, HDFC click is offering only 25 years duration policy.
    Aviva is offering 34 years policy.
    kindly advise me which one should i choose.

    T&R, KK BABU

    • Hi KK Babu,
      Do you really require insurance once you turn 60 & hopefully you will be retired at that age.

  29. Hello
    This is Amar here i want to know about HDFC’s top 200 mutual fund investment plan , i want to invest 1000 per month..

  30. Hi TFL team,

    Good post about term insurance & must appriciate TFL efforts for giving financial education.
    I am 3oyrs old with a kid. I have taken Jeevan Amulaya (LIC) for 25L last year. Now, I would like to buy another 30years Term policy (offline) for 25L with CI/APD/ATB riders and have short listed 2 – HDFC Term assurance plan & SBI smart shield. Can you please suggest me the bettter one with yearly premium rates?

    • Hi Suresh,
      Its awesome that you have taken term plan. I will make a small suggestion on your question – rather than asking us about which one you should buy, do your own research. There are 2 benefits in that
      1. You will get aware about the terms & condition that financial products have
      2. It will increase your ability to understand your requirement & choosing right product for that. 🙂

      • Hi Hemanth,

        I have gone thru IRDA claim settlement ratio charts(2010-11). Among dozens of Pvt insurence players, the top 3 insurers with Death CSR% – HDFC 95%, ICICI 94%, Birlasunlife 94%. I would like to go with HDFC click2protect, wich doesn’t have riders. So i will take a separate Personal Accidental insurance.
        Correct me in I am wrong.
        Thank you so much for your valuable advices.

        Suresh K.

  31. Dear Hemant
    I am 52 yrs. I want to take a on-line term plan of Rs 75 lac for 10 yrs. Shall I have to undergo medical tests. if so then at whose expenses and what are the tests to be done? My BP is 78/122, Fasting sugar 78 and pp sugar 96. Kindly sent me reply through mail at sant00000000.

  32. Dear Hemant,
    My one LIC policy has matured and soon I shall receive it. What can be the best way to reinvest it for the next 5 years. That I planned for the marriage of my daughter.

    • Hi Santanu,
      5 years is a short term considering the importance of goal – you should most of the money in debt instruments but avoid investing in insurance policy.

  33. Dear Hemant,

    I want to take a term plan of 50 lacs. My age is 31yrs. Now my query is that, while filling up the form for online term plan,is there any option like “if i would like to take the plan under the guidance of financial consultant and if yes and then metion his code no. ” This way i will be able to take the online term plan plus the consultant whose name i mention will get his fees and he shall readily guide me in filling the form as well as be there during the claim settlement procedure.


    • Hi Hitesh,
      This option is available in HDFC life click 2 protect – you can have a word with some HDFC agent or nearest branch of HDFC life.

      • Hi Hemant,

        Yesterday i had a discussion with the executive from HDFC for a term plan for 50 lacs. My querry to him was that “What are the advantages when i take the policy offline rather than online ? Will i get a dedicated person for it (which will be very crucial during claim settlement , as my family may not be able to able to do it with call centre). He said that the claim process for both the modes is almost same and you need to visit the branch for claims. So its better to go online and save the premium. I was just concerned that just for some extra premium, i should not put risk for the claim settlement process. I think that it will be a very tedious and complex process for someone who is not tech savy. Can u please put some light on this issue, so that i can decide on the mode of purchase ?


        • Hi Hemant,

          Also in addition to the above query, the premium for kotak preferred term plan (offline) for 30 yrs is 8135 as compared to hdfc click to protect (online) for 30yrs is 7300. What i feel is that if am getting an offline policy with just minor difference in premium, i should opt for it as i would get the guidance from agent during application and claim process. What your take on this ?



  34. Hi Hemant…what a good luck I had that I came across this site and got a lot of relevent information !!
    My Age is 36 Years and am planning to buy a Term Insurance Plan. HDFC Life Clik2Protect looks good to me. Just a quick query….how does it compare to ICICI Prulife? With ICICI there is option of Riders also.
    Pl suggest.

    PS: You are really doing a good work !!

    • Thanks Manoj – Must share TFL with your friends.
      I think I have done the comparison between ICICI & HDFC. 🙂

  35. HI Hemant,

    Hdfc click to protect is good plan. I feel there is one drawback,they offer fixed term starting from 10 yrs and further in mutliples of 5 years.

    • Hi Rashmi,
      NRIs can’t buy online term plans + even they can’t buy offline term plans sitting outside India. You can think of purchasing it on your next trip to Indian – else you can also buy some international term insurance policy.

  36. HI Hemant,

    i am 32 years old, and would like to to take a term insurance plan for 50.00 lacs. kindly guide which is the best term plan to take right now. i sorted out on aegaon religare i term plan, hdfc life click 2 protect and bharti axa i term. kindly guide which is the genuine plan and which company plan should i go for.

      • But for a 35 years old and 30 yrs premium paying term
        In ageon relgare it is:5400 yearly and
        in HDFC click 2 protect it is 8400 yearly.
        Why I should pay 3000 extra .

  37. i have heard this new Guaranteed Maturity Insurance Plan by bajaj allianz which says it gives 200% returns of investment.The product is the lowest single premium ULIP in India with the minimum single premium as low as Rs. 5000The plan provides life cover all across the total term of 10 years and gives the flexibility of partial withdrawal after five years. There are no allocation charges.

    Is it worth taking or just ignore. whether such cliams of 200% is a advertisement gimmick or the fact it may realyy can provide

    Kaushik Iyer

    • Hi Kaushik,
      200% in how many years?
      If its 5 years it is giving return of 15%, if it is 10 years it is giving return of 7.2% & if it is more than 15 Years returns are less than 5%.

  38. Two questions.
    1. Do u think online plan with premedical test is better than no medical examination?
    2. Why ADB is good to purchase separate instead of purchase as rider.

    • Hi Ambrish,
      Please find my inline reply
      1. Do u think online plan with premedical test is better than no medical examination?
      >If we are talking in comparative terms answer is yes but this is not very big factor as it don’t impact your insurance contract.
      2. Why ADB is good to purchase separate instead of purchase as rider.
      >In most of the case rider covers accidental death but what about Permanent Total Disablement, Permanent Partial Disablement & Temporary total Disablement.

  39. Dear Hemant,
    I want to clarify from you that-
    1) whether I can opt for two on-line term policies of TWO different companies simultaneously?? (eg- HDFC & ICICI)
    2) I had started Aegon-religare i-term in n0v. 2010 for 50 L. But after paying premium for only 1 year I applied for policy surrender as I came to know that company’s CSR is not satisfactory. surrender procedure is not yet over. I had asked for policy termination letter from Aegon-religare.
    Whether this information do I need to provide to new companies??

    • Hi Arun,
      Answer to first question is yes but if you have already discontinued Aigon policy there is no compulsion to provide this information.

  40. Dear sir
    In the discussion, you have given Premium Comparison chart for various online term plans.
    Also I heard, claim settlement ratio of Online Term Plans of all companies is almost same.

    (1) In that case, why to go for Policies with higher premium charges, why cant we go for the cheaper one (when claim settlement ratio of all online term plans is almost same).
    One more question sir.
    (2) How can any company reject claims, when everything is recorded black & white. If we take care that application form is filled 100% correct and we gave 100% accurate information, how can these companies reject the claim? (I wonder this is not a health policy, we have to claim only and when DEATH happens. No body can falsely claim about a DEATH).
    Kindly reply.
    Thanks, KK Babu

  41. Hi Hemant,

    While the policy might be good, I have not received any encouraging response from HDFC customer service. I sent them an email asking for some additional details about the policy and below is what I got: –
    Dear Mr. Vivek,

    Greetings from HDFC Life!

    With regard to your e-mail, we regret to inform you that we are unable to provide you the details. However, we request you to e-mail us at onlinequery @ hdfclife . com or call us on 1800-266-9777 (between 8 am to 11pm).

    We assure you the best of our services always.

    Warm Regards,

    Customer Service Officer

    I even forwarded my queries to the email id provided [which the customer service officer could have done himself] in the email but still no response. Now if company is not willing to provide details in order to sell their product, I wonder what would they do when someone approaches them for claim?

    • Hi Vivek,
      I am not sure why any company will do this when they are spending too much on ads. Any update regarding their reply or response.
      I am writing a mail on the ID that you have shared let’s see what they have to say.

      • No Hemant no reply whatsoever. I forwarded my queries to all the email ids possible: ‘[email protected]’; ‘[email protected]’; ‘[email protected]’; ‘[email protected]

        Below are my queries, if you can help me getting the answers or answer them yourself. I wanted to get a reply from HDFC in writing so that I have some evidence in case they decide to take a U turn on them.
        I am interested in Click 2 Protect term insurance plan. I am 30 years old and planning to take 50 lacs insurance. However, I have some queries if you can answer: –
        1. Is there ANY kind of death that is exempted under this scheme: deaths under riots, terrorist attacks are covered?
        2. In case a person is travelling overseas and dies in a plane crash or dies on foreign soil after landing? Are these kinds of death covered?
        3. What are the documents that need to be submitted with the application form? And where to submit the documents?
        4. Is there any medical check-up required?
        5. What happens if a person dies between the time of submitting the application and issue of policy?
        6. What is the process of claiming the insurance? What are the documents required? Any difference in the claim process if policy is bought online or offline?
        7. Please mail me the fine print of policy wordings. I have already seen the brochure online but it gives very high level information.

  42. Hi Hemanth,
    I am a regular reader of ur articles which really have changed my vision ab future.
    Thanks a lot. About term plan i was initially thinking of taking LIC and ICICI/Kotak 50lakhs each. now i am planning to take HDFC and Kotak/ICICI. Plz give ur opinion.

  43. Dear Hemant,

    An excellent piece of article this. Got on this while researching on term insurance. I have a few questions. I am 41. I want to go for a term thing around a crore. I have a few queries –

    1. Is it possible to get an ADB and paralysis as riders on such policies?
    2. Do you think it is a wise idea to go for two separate 50 lakh term policies, i.e., from two separate companies?
    3. How does LIC score in term policies?

    Look forward to your opinion


    – PD

  44. Hemant Ji:

    Pranams. I read your article and it is really awesome. I am 42 years old and thought of taking click 2 protect plan. I went thru HDFCLife website and there is another plan like HDFC Term Assurance Plan. What is the exact difference between these two.

  45. Hello,

    I would like to add in favor of online insurance. it makes you write your form yourself, so you know what details you are providing. But you cannot trust the agents, they will make you sign the form and provide details them self. Sometimes they may edit or change facts for there benefits. Who knows they can put your signature and change the entire application form, to get the policy and finally their commission. You will only come to know it on maturity / claim. Private Insurance at least provides the copy of application form, but I am not sure if LIC does that.

    • Dear RAjiv,

      When i took a term plan from LIC through agent, i made him fill up the form with all my actual details in front of me and also got a xerox copy of it for future correspondence. So this way we can nullify the risk of filling the wrong information by agents.


      • Hello Hitesh,

        One quick info, did you got a photocopy of your form LIC directly.
        Just wanted to check what is the guarantee that the agent is not able to change the entire form even with dummy signature.

        I applied for a policy sometime back where i mentioned in detail about my latest accident, My friend was an agent for it. His boss advised him to ask me not mention all those, as the policy will not be given in that circumstances, for this i didn’t agree. His boss than asked him to change the entire form, for which he didn’t agree.

        • Hi Rajiv,

          I took a copy of the form after filling all the details and before the submission to the LIC . In my case i can really trust my agent as even he was of the opinion that i should declare everything and also he took copy of it returns for last 3 years.


  46. Hi Hemant/Experts ,

    Excellent information clubbed together .
    Please suggest a policy which has accident Rider . Also does Accident rider means loss caused or money spent for any accident will be covered under this


  47. HI Hemant,

    Good job with details explanation.

    I have gone through the premium details specified above by you

    HDFC is charging something 5500..
    Aviva is charging 5100 something premium

    Why they are charging different premium rates for same age person.

    is low premium company claim settlement rate is also low ?

    Please suggest, as per above comments HDFC is looking on Top why ?

    They have more premium then aviva …..

  48. Hi,

    Why Should we buy HDFC term insurance
    It is much costly then Religare and Bharti AXA.

    Please suggest.

  49. hi, Hemant…
    i am 30 yrs old. i have opted for HDFC Click2 Protect- 50Lac for self.
    is it necessary to go through a medical test?????
    i have another query—- Can I have a term plan(on line) for my spouse(29- Housewife) or not?????Suggest the names of Ins.Co.

  50. Dear Hemant,
    I have a query, I have TATA AIG pure term for 25 lacs which is in 3rd year, I am paying 17000/ PA for it, but with so many pure term policies at 1/2 cost or less I am tempted to change my policy this year, Please advise
    1> should change to other policies?
    2> DOB 7/5/78
    3>smoker (although 2cig per day)
    4> looking for 1CR policy, my present one is 25L
    5> what should be premium PA
    6> what to look into policies when buying online
    7> is there a single premium pure term policy?
    Thankx and regards

    • Hi Shivendra,
      Normally one should not do it but if you are desperate to do it – first take a new term plan of desired sum assured & tenure, then discontinue the first one. Avoid single premium term plans.

    • Click to Protect Plan is also now available for NRI customers provided medicals are done in India.
      Customer has to provide declaration to conduct medicals for him/her in India.

  51. My age is 34yrs ,I am a govt employee,I want a term insurance of 50 to 75 lacks, which term insurance is best in market having good track record and claim settlement and pending ratio.I want to takeHDFC click 2 protect term plan .In HDFC click 2 protect term plan all types of death is covered ?, whether death in mass trasportation/ alone/ accident/ disease/bomb blast/ natural disaster like earth quake, sunami, volcano,war,nuclear tradegy etc covered under HDFC click 2 protect term plan ?

  52. Hi,

    I am visiting your site for the first time, after finding it in google search. I really like the contents and articles published in the site. I hope you will clarify my doubt on the term plans specifically HDFC Click2protect.

    The exclusions in the term and conditions of the HDFC Click2protect says No death benefit will be paid if the death is occurred either directly or indirectly as a result of suicide within one year from the date of commencement or the date of issue or the date of revival of the policy.

    Please tell me, does that mean every other form of death is covered i.e. accident, natural. What is date of revival of the policy?? Is it true that they really cover a suicide after one year from the commencement of the policy???

  53. Sir ,
    Recently I took a policy No.14986762 for my wife Mrs Amarjit Kour with premium of Rs 24ooo/- for 5 yrs under Sampooran Samridhi insu.Plan.While filling application form it was decided to pay Rs.24000/- annually and during verification call also it was made clear that I can pay the premium annually only but it is strange ti find it “Half Yearly”in the documents. It is requested to make it annually . Thanks

    • Hi Jagtar,
      We are not HDFC insurance or representative of them.
      This can be clear case of mis-selling – please contact your agent/insurance co. asap to use 15 days freelook period.

      • I want to know ICICI, HDFC, and other private companies give claim for Natural disaster like Tsunami, bomb blast, suicide etc?

  54. Hi Hemant,

    I mailed given below queries to HDFC on 29th Feb 2012 but I could not get any response.

    1. My Date of Birth is 31 May 1975, Male, Non Tobacco user, Married person. How much premium I have to pay?

    2. I am working out of India since May 2011 on contract basis (visited India 3 times in between). Can I take Click2Protect online? Right now I am in India.

    3. What will be my Policy Term?

    Please help me, if possible.


    • Hi Sunil,
      As your residential status is still resident Indian – you can get this plan. Term should be till your planned retirement.

  55. Hello Hemant,

    I need some guidance the following queries I have before we plan for a term insurance policy. My husband is 36 yrs old and I’m 29, we have no kids yet. He’s a smoker (two cigarettes a day). My questions are:

    – How do we calculate the required cover? Would it X times the CTC of a person?
    – I would like to know if there is a policy where the insured can be either of us, that is the benefit can be passed onto the surviving partner in event of death of either of us? I’m asking this coz both of us are working and contributing towards all financial commitments.
    – Also, kindly help us with options for retirement planning as we’ve not done any planning around this. How should we arrive at a corpus amount to lead a comfortable life after retirement so we can accordingly decide the monthly investments to reach that target. Assuming we need an amount of 30 – 40K per month as of today.

    Other info: We have a flat for which we’re repaying a 40K EMI each month. We have taken the home loan and home insurance from IDBI for which the premium was a one time payment added to the loan amount. The value of our property is 1 crore as of today.


    • Manisha- Common way of calculating your requirement of Insurance coverage is as you told 10-12 times of your take home (Dont calculate on CTC). You are intended to purchase Term Insurance in joint name (Example of such traditional plan is LIC’s Jeevan Sathi). But unluckily that option is not available in Term Insurance. So better you both purchase individually.
      Retirement Planning- Suppose your current cost is 30k PM then you need to inflate it to the age of your retirement age (you not mentioned when you both want to retire). Then you need to calculate the Present Value of all your retirement expenses by calculating Real Rate (Which is inflation adjusted). For this calculation too need data like your life expectancy and in which avenue you want to invest that accumulate corpus during your retirement age. That Present Value of at your retirement age is your target amount which you need accumulate from today. I think bit complicated right?? 🙂 If you provide me few data like current age of you and your husband, your retirement age, your life expectancy, how much you are comfortable in investing equity, then I may give you solution.

      • thanks Basunivesh! here is the information required for the calculation:

        – My husband’s age 36yrs, expected to work for another 20yrs.
        – My age is 28yrs (will be 29 in July), expected to work for another 20yrs
        – life expectancy I would say 60-65yrs
        – I’m not aware of the pros and cons of equity investments but I’ve read that these are the best options in the initial years of investment for long term goals like retirement, children’s education, marriage etc
        – I would also like to add that we have a home insurance from IDBI for which we paid a single premium for joint life coverage (Joint life coverage for for 20 years Rs. 2,34,787). I need you to advise me if this was a right decision? if yes, what can we do about this?
        – The assets we have as of now is our house, some amount in PPF and small SIP in SBI magnum. This should be our start to disciplined savings to achieve a target for our retirement.
        – Please also advice on what would be the best way to go for a term insurance as both are working. Like you said we have to calculate the amount for 8-10 times of our take home. Should we opt for two policies?

        Thank you

        • Manisha-Thanks for sharing your personal data. These are the below data I considered for calculating your retirement corpus creation.
          1)Husband’s Age-36 Yrs
          2) Retirement age-56 Yrs (36+20)
          3) Your current age-29
          4) Your Life Expectancy-65
          5) When your husband retires at the age of 56 yrs, your age is 49.
          6) Need to accumulate for the expenses of your household till you reach the age of 65 yrs.
          7) So post retirement of your husband’s age you need around 16 yrs (65-49)
          8) Current household expenses 40,000 PM
          9) Inflation considered for calculation 6%
          10) Pre retirement investment return-15%
          11) Post retirement investment expenses-8%
          12) When your husband retires your household expense will be aprx Rs.1,28,285
          13) To have this amount monthly till your life expectancy with inflation on yearly base you need Rs.2,10,90,461.
          14) So your target amount is Rs.2,10,90,461 which you need to accumulate within this 20 yrs.
          15) To achieve this amount you need to start a monthly investment of Rs.13,912.

          Hope you understood all the points which i discussed. I will recommend you to go the Equity mode of investment by choosing the good funds. Because your goal is long (20 Yrs), I recommend you to invest in Equity.
          About IDBI Insurance, as the premium is paid already their is no point in cancelling the same and opting for another insurance to cover your Home Loan liability.
          Yes, go with purchasing individual Term Insurance as both are earning and if something happens the survivor may feel the heat of financial burden. Hence I recommend you to go with individual Term Plan.
          Hope I resolved your query. Happy Investing !!! 🙂

            • Vivek- I have a data of Indian Inflation Index from 1969 to 2010. Average of that is 7.99%. Usually for calculation it is considered as 6%. Hence I took that rate. If you are comfortable then you may take 8% too which is the average of Indian Historical Inflation Rate. In that case she needs to contribute more than what I recommended her to save monthly.

              • so if we assume a inflation % of 8%, what would be the investment amount per month for 20yrs? Also, could you suggest some top rated investment options? how do I split the monthly amount into Debt, Equity and ETF (if required)?

                Also, if we opt for two insurance policies, should we go for the same company? we haven’t considered future expenses like education, marriage in the above calculation..

                • Manisha- If you consider 8% return then your monthly expenses when your hubby retires will be Rs.1,86,438. So the total amount you need to accumulate to sustain this expenses throughout your life expectancy is Rs.3,57,96,096. To accumulate this amount with the investment in equity (return considered is 15%), you need to save monthly Rs.23,612. I recommend you to go with 70%-Equity, 15%-Debt and 15%-Gold. This need to re-balanced once in 5 yr. Slowly try to move from Equity exposure to Debt as the goal reaches.
                  Yes you can choose the same company, what is the harm in that?
                  I calculated only your retirement expenses. So at the time of your retirement, I hope your kids will be in job or self sustained. Hence not took those part into consideration. Hope you satisfied with my answers. My fee??? 🙂

                  • Hi BasuNivesh,

                    Am I correct in assuming that this 3.5 crore corpus will help in earning the monthly expenses of say 2 lakhs at 8% returns?

                    If yes, what happens to the principal corpus of 3.5 crores? Shouldn’t that be considered as well to be utilised or it will become a legacy amount?

                    • Vivek-3.5 Cr will last long till the calculated life expectancy of Manisha. Also for your information, expenses will be adjusted to inflation rate. So yearly she can withdraw the amount in increasing rate of the inflation.

                    • @BasuNivesh
                      Ok, but then there will be interest earned on this corpus as well. Is that considered while calculating the total corpus required?

                    • Vivek-It was considered. I took the return on investment 8% and inflation 6%. I took real rate to calculate not the 8% or 6%. Real rate means inflation adjusted rate of return.

                • Here u are taking biggest risk in assuming life expectancy. Nowadays life expectancy for city people is around 75-80 years. Also inflation is on lower side. One more thing is when you have a child most probably higher education and marriage will come in after retirement .

                  I have considered following scenarios
                  1) Inflation 8%
                  2) Life expectancy 75, monthly expense 40K
                  3) Marriage cost 5 lacs at 26 age from now
                  4) Higher education 10 lacs after 22 years

                  With above figures u need to save 33000 per month with 5% increase in savings every year.
                  Equity 70% debt 30% of total savings.
                  15% return in equity and 8% in debt.

                  If you want constant savings it will be 45K per month.

                  • Purvesh-I slightly agree with the life expectancy point as the current demographic data too shows the same thing. But about child education and marriage, I did mistake by not reading her first comment where she mentioned as they dont have kids now. Yes, we may consider that expenses too. In that case for marriage and education expenses you need to consider higher inflation rate as in all probability today’s trend clearly indicates higher inflation rate for education and marriage.

                    • Thanks Basunivesh, Purvesh for your valuable advice.

                      I feel 45K is too much as we also have to consider setting aside some money for emergencies. Cash liquidity is very important for anything unexpected. Also, we haven’t considered medical insurance (top up), accidental insurance(if taken) payments etc.

                      @Basunivesh – we definitely owe you a lot! Could you provide me your email id in case I have specific queries regarding investments?

                    • @Manisha
                      A person should create emergency fund first, then insure oneself and invest the remaining for retirement and other goals.
                      If you can’t invest 45k now, you might be able to do it in future but atleast you know the figure.

                    • Hello All,
                      Is it a good idea to invest in recurring deposit and PPF as I don’t have a PPF account yet, all these years we’ve been using my husbands PPF account. So is it a good idea to have both of us contribute to two PPF acccounts? since the interest in tax free and the returns are good. what kind of saving would this be when we look at the proportion of investments in equity, debt and gold?

    • Simply Follow these steps and calculate yourself current requirement of your insurance needs.
      1) Calculate compounded inflationary value of current monthly cost of family for the entire life span (from now to life expectancy).
      2) Add your current liabilities.
      3) If you have child add inflationary value of child’s marriage and higher education. Mind you inflationary value will be very large.
      3) Subtract current assets you have (equity,debt,real estate in which you are not living)
      4) Also consider insurance amount will give some return per annum say 8% if put in FD.

      My calculation says if you have monthly cost of 30000 and take inflation 8%, life expectancy of say 50 years (from now), you need atleast 2 crore of insurance at present. This calculation does not include your current assets, housing loan and child planning.

      In your case Remember insurance needs reduces year by year due to reduction in liabilities and addition of assets due to saving.

      Follow these steps to calculate savings for retirement
      1) Calculate compounded inflationary value of current monthly cost of family for the entire life span (from retirement age to life expectancy).
      2) Consider your current equity assets +current savings in equity will appreciate by say 12-15% per annum.
      3) Consider your current debt assets+savings in debt will appreciate by say 8% per annum.
      4) If you have child add inflationary value of child’s marriage and higher education. This will be subtracted from total corpus you have at that age.
      5) Consider after retirement you will put all amount in safe heaven Fixed deposites which earns 6-8%.
      6) Your current monthly savings should be such that retirement corpus+ interest on that should survive upto life expectancy.

      I hope this will help you.

      • Purvesh-Nice explanation 🙂 But common man understand the steps you are trying to explain? Bit confusing for the person who is not accustomed to these financial wordings. Better you explain it in simple manner (which may take a lengthy explanation) or ask for data first from the person who is seeking advise then give solution with perfect data so that they can understand easily what you are explaining. Am I right??

        • Yes i understand that people may not understand at start. But reading blogs on this site for some time, people may understand financial jargon.

          Manisha if you can give some basic data i have used in calculation above i can help you out.


          • Purvesh-Thats why I asked to provide basic data. Like their current age (mentioned already), retirement age, life expectancy, return on interest during accumulation period and dispersing period (retirement period). I asked return on investment they are expecting because we dont know their risk appetite and their current experience about investing in Equity oriented investments. Anyhow nice explanation from you 🙂

          • Hi Purvesh,

            thanks to you too for trying to help. Here is the information I posted above for basunivesh:

            thanks Basunivesh! here is the information required for the calculation:

            – My husband’s age 36yrs, expected to work for another 20yrs. My husband is a smoker
            – My age is 28yrs (will be 29 in July), expected to work for another 20yrs
            – life expectancy I would say 60-65yrs
            – I’m not aware of the pros and cons of equity investments but I’ve read that these are the best options in the initial years of investment for long term goals like retirement, children’s education, marriage etc
            – I would also like to add that we have a home insurance from IDBI for which we paid a single premium for joint life coverage (Joint life coverage for for 20 years Rs. 2,34,787). I need you to advise me if this was a right decision? if yes, what can we do about this?
            – The assets we have as of now is our house, some amount in PPF and small SIP in SBI magnum. This should be our start to disciplined savings to achieve a target for our retirement.
            – Please also advice on what would be the best way to go for a term insurance as both are working. Like you said we have to calculate the amount for 8-10 times of our take home. Should we opt for two policies?

            I forgot to mention about the medical insurance. We do have a medical insurance coverage from the company for an amount of 2lacs each. Should we look at additional insurance?

            Thank you

            • Hi Manisha,

              Certainly its on higher side, but two working people can contribute 45K i assume. Its the cost of starting late, but its better to start. This is a figure which is based on assumptions. But this will atleast give you some starting point. Its upto u to believe or not. Its a constant figure so as per increase in saving this you will be able to achieve it.

  56. Hi Hemant,

    It is good for people that many insurance companies are providing cheaper term plans. But one thing i see in recent term plans is they do not require medical tests (except certain criteria). Also nobody knows what will the claim settlement experience for online term plans as they are new. People face a huge risk if company says at time of claim settlement that you hide some health facts at time of taking the policy. I also want to take a policy from HDFC but they say based on the facts i provide in form , they will decide to take medical test or not. Ans yes i do have a policy i-Protect (with medical test) from ICICI. What do you think of this case? Isn’t it a good idea to buy policy from company which consider medical test for SA beyond say 25lacs.


    • Purvesh-Your comment remembered me one article which I read few months back. In that article the reason for cheap insurance and online insurance as expressed by one of the top Manager of Insurance company is-Usually online term plan purchasers are well educated and healthy enough with the kind of income they have. I think they are forgetting that “white collar criminals” are also their in this world and so many health hazards are attached with such high income range group. But currently the trend looks positive and let us wait and watch how and in what way it move.

  57. Dear Hemant,
    It was a very helpful article for me as I am going to buy HDFC click 2 protect plan. I had many querries in my mind but while reading the others questions and prompt reply by you on every query, all my doubts got cleared. Thanks for the beautiful article.

  58. Dear Hemant,

    wanted to share a real-life incidence with you. About 3-4 days back, i was sitting and discussing insurance with one of my prospect. He was inclined towards ONLINE TERM PLAN (HDFC click2protect). He told me that he will be saving A LOT OF PREMIUM plus all the hassels. Plus, his wife is educated and smart enough woman to handle the matters on her own.

    I asked him how many times his wife has gone to the insurance branch and submitted the premium. Let alone this COMPLICATED MATTER, does she even know which is the servicing branch for their policy?? How easily can she fill up forms for getting DRAFTs made or doing STOP PAYMENT of some cheque?? How is the experience for her to stand in the government offices to stand in the queue to get BIRTH CERTIFICATE/DEATH CERTIFICATE etc..And not surprisingly, his well-educated wife has NEVER done any of these things..

    ..and suddenly he realized the importance of “HUMAN FACTOR” in this entire transaction, and now is going ahead with me for OFFLINE TERM PLAN.

    May be that i am an insurance agent will portray that i am selfish or something, but i do request everybody to think objectively before taking up such plans.

    ..And i shudder to think of the scenario where wife would not even know that such a thing called ONLINE TERM PLAN existed in the cupboard??

    • You are right Dhawal, it does sound selfish.

      If a person purchase a policy from an agent, what’s the gurantee that the same agent will be around 10-20 years down the line when a claim is required? What’s the gurantee the agent will be willing to help and will not ignore phone calls? May be you are one of the very few honest agents who are willing to help but what’s the mass like and how’s their reputation in the market?

      By purchasing online plan I will ensure my wife knows the procedure and important contacts of the company etc to file for claims. A wife can be mentally prepared for all this but in case of agent if she is not getting any cooperation from agent she will be left with nothing. If she is educated she can figure out a way, yes there would be hiccups but the same would exist in case of an agent as well.
      I don’t think it makes any difference by purchasing an online or offline policy because at the end of the day a person will have to fight his/her own battle to get the claim processed.

      • Vivek-I pointed the same thing of sharing information with family members about your financial dealings is much more important than deciding to invest especially in such products. Regarding opting online or offline depends on clients believing with agents and how efficient he is in handling claim settlements.

        • Absolutely right Basunivesh. Selecting and purchasing the policy is only the job half done. You can’t just buy a policy and keep it in the cupboard expecting family members to find it and get the claim, God forbid if and when required.

          Irrespective of online or offline purchase you must educate the family members about the policy and claim procedure and prepare them mentally and practically.

      • @Vivek K,

        I can understand the apprehensions which you have in mind. But due diligence is required at the time of purchase of the product..Please do check for how long your agent is in the business (Preferrably he should be in the industry for at least 3-5 years), he should be a FULL-TIME (Avoid part-timers at all cost), and if possible ask for his educational qualification/background. I am sure if your agent fulfill all the above criteria, you will have a great help at hand.

        Would like to acknowledge that most of the people i know in the industry are honest and willing to help the client..but you tell me how many people out there buy the policy from a professional instead of their RELATIVE/NEIGHBOUR/COLLEGUE?? or dont ask for rebate from the agent?? Very-very few, is my answer..

        In my own case, i believe the only scenario where i will not be able to help out my client is – if i die before my client..

        Mind you, i agree with your point of view that family members should be sensitized about the financial products..but that is exactly i want to say in my post above. Even when we are around and try to teach our spouse/sister/mother about financial transactions, its very difficult for them to get these transactions smoothly even then.

        OFFLINE and ONLINE claim settlement procedure as the same does not mean in both cases, the operations will be taking the same interest in doing the work. An agent has a FAMILY BONDING with the client over a period of time and for him, getting the claim settlement is personal matter unlike ONLINE thing where it will be a routine job, to be carried out in 9-to-6 manner..

        Again, i could have sounded SELFISH but my point of stress is HUMAN FACTOR in the entire transaction, that is all..

    • Also see a comment from Hitesh where he posted response from an HDFC executive….

      My querry to him was that “What are the advantages when i take the policy offline rather than online ? Will i get a dedicated person for it (which will be very crucial during claim settlement , as my family may not be able to able to do it with call centre). He said that the claim process for both the modes is almost same and you need to visit the branch for claims.

  59. Dhawal-Nice sharing. One more thing you left about the drawbacks of purchasing online term plans is-Almost all online term plans does not offer riders which are very much part and parcel of any insurance purchase. Service part and information about purchasing term plan to his whole family is very much important. Otherwise investor’s main intention of purchasing term plan may loose it’s shine.

  60. Dear Guys,

    NEVER GO for HDFC click 2 protect plan. I am having the worst experience dealing with HDFC life insurance co. Firstly, after applying for click 2 protect plan and making the payments, I did not got any verification call for 15 days, till I awaked them that I have applied for the policy and what the HELL they are doing for the issuance of the same. Customer care was quite f**king and responded with the typical reply “Policy is in final stage of issuance”. Surprised, no verification call, no medical tests and policy would be issued. Isn’t the disappointing reply. Anyhow, put a “dirty”mail to them and got the response with in 2 hours for medical appointments and all that. But now after 15 days after medical has been done, no response from their side. Neither policy has been issued nor refund or money and no one is responding to regular mails send in this regard.

    I am still struggling to get the money back. My proposal number is S000000514063

    Personally, I would not recommend this to any one.


    Sunil Gupta

    • Thanks for sharing your experience Sunil. Even I did not get a good response from HDFC when I sent them an email asking some questions about their online term plan. So, I decided not to pursue any further. When the company is not bothered to answer queries to get a potential customer, what would they do to someone who comes with a claim?

      Time to look for another company? or taking a policy through an agent is the only way out? I am sure this would have made Dhawal happy. 🙂

      • @Vivek K..

        Nothing to be happy about because i always knew about these things..
        Indian markets/technology have yet to evolve up to the required levels..

        More so, in advance economies like US and UK, 80% of the insurance is still purchased through agents..

        …and out here in India – there is still a way out..You dont like HDFC ONLINE?? No problem, you can very well move to AEGON RELIGARE ONLINE. And if even they are not good, move to BHARTI AXA ONLINE..and so on till you get the right company to your liking for ONLINE transaction 😉

        Ps: I am still in favor of the presence of “HUMAN FACTOR” in these type of transactions..

        • hmmmm, I think it depends on the human involved.

          Where are you based Dhawal? May be I will contact you when I decide to buy a term insurance 😉

    • Same case happened to me also. They have not bothered to reply my queries. Even though I started the process online but struck in the middle because I need to fill some details of my old insurance. After that I could not get time to proceed further. Thank god I did not complete the process else I would have been calling them like you. Now I am not going to buy term plan from HDFC.

      Thanks to you Sunil.

  61. Hello All,

    Sorry to be posting on this topic but there is no option to search on this blog for specific queries as one has to browse thru hundreds of topics to look for the artical. I have specific queries on Home loans and interest rates for existing borrowers as banks do not pass on the benefits of rate decrease to us, is there a topic on this?? please help.

    • I have not come across such topic on this blog.

      To help you with searching any topic, open and type tflguide and google will search the site for you. This is how I generally find any topic I am looking for.

  62. Seems different people have different experience with HDFC Click2Protect. I have a good experience. I got a call lending help to fill in the form. Got my medical done quickly. And now they are chasing for me to submit the documents, which I have now done. Yet to be issued the policy
    I will agree though that their customer care seem a bit careless in their approch.

  63. A-Is the HDFC click to protect plan only available to those in major cities? As it is an online plan what does the location of a person got to do with the policy. As long as the person is willing to travel to the designated medical center for a checkup, there should not be any problem?
    B- How are the policy documents delivered? By post or by hand?? Then location of the insured might be a factor.
    In such a case this policy is not suitable for those who are living in smaller towns.

  64. My husband is a serial smoker, I went through the CLICK TO PROTECT plan and found that the premium for a tobacco user is quite high as compared to a normal healthy person which I know is quite obvious . My question is that should I still go for this plan or is there any other cheaper online term plan which I can choose? My hubby is 28 yrs.old. Currently he is the only earning member with two dependents me and my daughter. In the name insurance I only have Jeevan Aanund ( 10 lakhs sum assured) .I want an additional insurance of another 50 Lakhs.
    Please advise .

      • Thank you so much Vivek, the link is really very useful. After going through this I zeroed myself to HDFC click to protect plan . thanks again .

        • Sangeeta,

          Its good that you have zeroed yourself to HDFC Click2Protect Plan but before purchasing see some reviews on this page. Some people including me have bad experience with HDFC. I agree with Manoj Aggarwal that different people have different experience. So use your judgement power and go for it.

          • Thanks Sunil for your valuable suggestion. I will definitely think over it. I have a kind of trust on HDFC `s services. But I will part my money in to 2 plans .The other one is still to be hunted .But yes If LIC announces such online term plan that I will think twice for HDFC click to protect plan.
            thanks again.

            • You can consider Kotak as your second option. They also have an online term plan.
              I have been hearing about LIC online term plan for a long time now, I don’t think it is worth waiting. Moreover, one can always switch.

            • I am not saying that HDFC is bad but my and other people experiences are bad. If you are comfortable with HDFC then you can go ahead. I just thought that when I am alive and are trying to take policy from them then they are not responding. What will happen if my family needs them when I am not in this world. Thats why I dropped the idea to take the policy from HDFC.

              • Ditto Suunil. I share the same concerns you have.
                If a company is procrastinating to sell the policy where they would be making money, how would their response be when they will have to pay the claims?

            • Sure, think twice or thrice before zeroing HDFC i-click plan. I too was having a kind of trust on HDFC because of a big-2 brand name. But totally disappointed with the pathetic response. I am still waiting to get my money back since application on 27, feb 2012 (isn’t a long period where either policy should be issued or money should be refunded. A normal insurance company takes 15-20 days max to mature the transaction. Refer to IRDA Prescribed Policy Holder Servicing Turnaround Time PDF uploaded on HDFC life website also speaks so, but what actually is happening).
              Also, kindly refer to GRIEVANCE REDRESSAL GUIDELINES PDF uploaded on the website. It is more of a mockery of thousands of consumers who trust them. How and where to file your complaints (No mail_IDs, no phone numbers and they speaks of 3-tier escalation matrix). Try to file a complaint (complaints section) on their website with the proposal number, it would not accept. It accepts only policy number which is issued after you have been issued the policy so you are not even entitled to raise your complaints in spite of paying premium.
              HDFC officials not even bother to revert on the mails, the status of your long delayed policy, until you write harsh words and threatens them to drag in the tribunal.
              Hats off to the imperfect consumer rights (our reluctancy, lack of proper information & casual attitude is also responsible and promotes these mal-practices) that companies are able to fool with the consumers rights easily.
              Thanks and Regards

              Sunil Gupta

  65. Hi Hemanth,
    Planing to take hdfc-life-click-2-protect. it have with agent and direct buy.
    Rs400 is extra charge if I buy with agent code. I discussed with HDFC agent they said one of the manger / agent will help me when ever I have queries.
    Do you have any idea, buying with agent is good ? Could you plz suggest me, should I buy with agent or direct buy..

  66. Hi All,

    Just wanted to share Claim Settlement Ratio for iTERM as per the aegon religare website
    i TERM Claims –
    Received: 07
    Honoured: 06
    Rejected: 01 (Rejection reason could be read on the captioned link).

    • Hi Sandeep,
      Thanks for sharing this – hope other insurers will also bring the transparency.

  67. Do not buy “HDFC Life Click 2 Protect”
    Why ?
    Let me explain my experience in this regard.
    Normally insurance is bought for security of dependents. For this to achieve, foremost requirement is insurance company we choose is reliable and trustworthy. It only the claim that matters in case of insurance & more importantly when one is not alive, when you can not contest likely false rejection of claims or no response of the company after claim process.
    The trust between company & customer is developed during the process of proposal processing and afterward and response given by the company for the queries raised by the customer.
    I had applied for this product on 21 Dec-2011 & paid the premium online through netbanking. Since then I received no response from HDFC life through any of the channels( mail, phone , email or otherwise). I tried to contact them on phone, email , web complaint form , but they gave me replies like we will conatct you in 24 hrs, 48 hrs which never happened. In the end of Jan-12, I received a verification call from them which was responded & then I received an email for submission of documents which were also submitted and acknowledged by them in first week of Feb-12. Again after that no response from them , so I sent them emails & also contacted on phone (helpline), I was told every time that they will call me back with status within 24/48 hrs , which never happened.
    So , after getting no response from HDFC Life, even at proposal stage, comparing when other companies are issuing policies in minutes & also others are responding properly in time , I decided that taking policy from HDFC will be unwise decision. If these people are so unresponsive even at proposal stage, where every one normally responds well, what will happen in case a claim arises.
    So I sent them a notice for refund of my premium amount on 25/02/2012 & also made a complaint to IRDA.
    Still worse,I have not got any response from them & they are also not responding to IRDA notice in time , deadline for which was 11/03/12, and providing IRDA false information.
    Therefore , my advise, based on this experience , is not to purchase policy from unresponsive company HDFC Life, because it is a matter of security of your loved ones.

    • Absolutely Correct Rajeev. My experience with HDFC Life is not at all different from yours. Worst Life Insurance company to dealt with.

  68. With all the experience sharing going on and majority of them having BAD EXPERIENCE, i have a new thought to share with all..

    We always talk about CLAIM SETTLEMENT RATIO as the primary factor of selecting TERM PLAN, and then we simply close our eyes to the FACT that LIC is able to maintain its 98%+ claim settlement ratio all these years, by purely selling through AGENTS only…
    And all these new entrants (Aegon Religare) with Claim Settlement Ratio as low as 56% are still selling like “Hot cakes,” the only reason being they are CHEAP..

    ..and so please be prepared for CHEAP TREATMENT from such companies for these transactions..

    Not to offend anybody – but still think that HUMAN FACTOR is very neccessary in these transactions, only requirement being selection of that Professional Human factor..

    • 98% LIC comparison to 56% Religare is not apple to apple comparison. LIC claim settlement ratio is mostly on the endowment plans for which sum assured is pretty low when compared to the term plan sum assured. Companies will not have any problem in processing claims for which they have already earned the profits.

      If an actual comparison has to be done then someone should compare the claim settlement ratios of all the term insurances. This will give the true picture.

      • @VIVEK K,

        To make APPLE TO AN APPLE comparison, please see IRDA’s latest annual report for 2010-11 at page no. 18 (English version) where the Individual DEATH CLAIM settlement ratio is given. It shows the claim settlement ratio as LIC at 97.03% and PVT at 86.04%..Even if you check the GROUP DEATH CLAIM ratio, LIC is at 99.66% and PVT at 93.33%..Hope you get the TRUE PICTURE now..

        I have nothing to do with LIC as i am an agent for KOTAK LIFE but grudgingly or so, i have to give it to LIC for the best claim settlement ratio in the WORLD (Yes sir, in the world)..Do let me know your views NOW on APPLE (LIC) to an APPLE (AEGON RELIGARE) comparison, after seeing the annual report..

        That endowment thing you have written has nothing to do with DEATH CLAIM SETTLEMENT RATIO. What you are saying might be true in MATURITY CLAIM SETTLEMENT.

  69. Well in my case, I applied online on 20th March. Medical done. They asked me for my previous medical record which I have submitted. I was told that it takes about a month to issue policy so I am still wating for that. Figures crossed XX.
    I also applied with HDFC becuase I trused the brand and happy with their Bank and Homeloan service. But if it does not work out, will sure think of pulling it back ……

  70. Sirji,

    I have tried purchasing one of this online term plan through HDFC and let me tell you, the Customer service is just pathetic. I have completed the application and even completed the medical test, Everything went well… I also sent my documents across 3 times but they again and again keep on asking me to send some document again. Suddenly 1 day i got the premium paid was reversed into my account without any notification given and my application was rejected. Upon calling the Customer service, even they were not sure what happened & why my application was rejected. I Than tried Kotak E-Preferred for buying, here the problem was with filling up the application on their website, one the First screen itself where i have to enter my personal details, when i click save it is not accepting and returning some error. Contacted the Customer service and still they are unable to find out what the problem is? Still kotak CS is better than HDFC’s.

    Jus Wondering if applying for this policies can be so stressful for a tech Savie person like me, what will happen during claim settlements for our Family Members.

    • Thanks for sharing your experience Mr. harshit. It would surely be helping others to finalize their insurance company.
      I must congratulate you on receiving your money back else I am still struggling to get it back..I would rate them as “WORST AMONG THE WORST’s” 🙂

  71. Got my HDFC Policy today! It took 35 days from start to actual receipt of policy but overall it was all smooth!! Again please use your own judgement to choose which company to go with.

  72. Dear sir

    i am planning to buy iterm from religare …, what if tomorrow the company closes down , or if there any fraud in the company are the customers secured
    my age is 41 years… religre term policy is till 34 years i.e 75 yrs…..ideally how many years i should go for…..

    • Hi Mukesh,

      All the insurance companies are Regulated by IRDA so you don’t have to worry about the company closing down, Even if it does your claim would be settled.

      Financially Everyone recommends to have insurance till the age of 60 or max till 65 as by that time you would have taken care of your Goals like Retirement etc and would have build a sufficient corpus to support your family. But I would Recommend that you for for the maximum term available, Even tough technically u would have sufficient corpus build in by the time you are 65 but lets face it Extra money has not harmed anyone…. Let your family live with more than sufficient Income…. So 75 years is the Answer !!!

      Ps: Before Buying a Term plan make sure you check the claim settlement ratio of the company.

  73. Hi,
    Few updates regarding the HDFC Click to protect online term policy:
    1. Bought policy on 27th March 2011 but so far policy has not been issued.
    2. Did send all the documents through courier on the next day itself on 28/03/2012.
    3. Got call from customer care that there is incorrect information filled in the proposal form. Corrected the information and send it to them online after scanning it.
    4. Got call from medical team to conduct medical test and scheduled medical appointment on 5th April 2012 but incomplete medical center details were provided. No contact number for medical center, incomplete address.
    5. Inquired with customer care and got to know they had sent the physical mail with medical center details. I got this physical mail after a month on 8th Mat 2012.
    6. Called customer care and asked them to cancel my request but so far no request number provided.
    7. Again called and they informed me that there is no such request for cancellation. Ultimately they asked me drop an e-mail for cancellation.
    8. Sent e-mail for cancellation and its more then 5 days no update,no reply, no request number.

    I hope you guys can understand the my experience with customer care of HDFC life insurance and take your decision.
    I bought this policy only because I trust HDFC bank and checked their CSR before opting it. Finally, I am going with either bharti-AXA or Aviva.

    • Hi Manish….I did not face any such issue and got my policy within 30 days of applying but I must say that their customer support system is absolutely pathetic.
      After I got my policy, I asked for my medical test reports. Even after writing 3 mails I got no revert but one fine day a link was posted on my account with downloadable medical reports. Guess what the link did not work!
      When I called the call centre, I got a firm reply that the medical reports cannot be provided to those persons who have been issued the policy (why the hell the line is provided then??)
      Well next day I again tried to download the file, it worked!!
      Am really worried that I have put my life in wrong hands……:-(

      • You always have an option to surrender the policy. If grace period is over then wait for the year to complete and don’t renew it next year. In the mean time look for another option and take another policy.

  74. Hi.. I’m sujan

    My father age 40 now and I’m deside fr a HDFC click 2 protact plan fr 25 yrs. so is it right decesion and wt will the be the primeum per annum..? Plz reply..

  75. Hello All, Why can’t we see the date anymore when we post a comment?

    Is there any news/update on LIC’s online plan? I would like to know if its good to wait or go with the existing plans like HDFC click2protect?

    @ Basunivesh – could you please send me your email id? I have a few queries which I would like to address separately… thank you

    • LIC has been delaying their online term insurance plan for quite some time now. I don’t think there is any point to wait as there is no set direction.
      You can always change it at a later stage when they launch and if you find it attractive.

  76. Hi, I have seen maxium queries and answers and they i thought to share my query too. I am 34 yrs , married, wife 30yrs ,one child 2ys(girl) and ataying in gurgaon , working in MNC and salary is 70k pm. I have one LIC jeevan chaya plan of premium 53k pa and SA is 10lac-term 23yrs. I feel this is not enough so
    I want do more life insurance upto 5 lac like -jeevan anand etc
    2. Term plan for 50lac (looking in avaiva shield life advantage plan) for 25 yrs 3. I can go for for simple term plan but I would like to have return of my paid amount in 25 yrs.
    4. I have company health insu policy but I want to buy good one family floater plan so I mcan plan by second baby too.
    5. Other detail-
    BALIC – insu policy lapsed -~ 37k –I will take back in feb-13
    RD- 500/month for next 2.5 yrs
    FD- 11000 IN SBI
    6. I would like to put some amount ~5000 pm in MF as SIP. plz suggest equity mutual fund which i can run for next 5-10yrs.

    Please advise .

    • Hi Vinod,

      Heres my view on your Current investment cum insurance product (LIC Jeevan Chaya), firstly the sum assured is very low and the premium is very very high. I Recommend you consider surrendering this policy and consider buying A simple term plan of 50lacs which would cost you less than 6500 and invest the remaining 46k in PPF ,Equity Mutual fund or any other investment avenue based on your risk appetite, I bet that the returns would be better than LIC Jeevan chaya. (So i guess this resolves your query no 1,2 & 3)
      4. Regarding Medical Insurance, it is generally recommend that you have atleast a total of policy value or 5lacs amongst ur family.If you already have a individual health insurance than go for a Family floater or you can also opt for a top-Up (Which is a cheaper option).
      6. If you taxes are not taken care for than u can opt for ELSS like HDFC Tax Saver, Canara Robecco Tax saver etc.If taxes are taken care for than go for Balanced funds like HDFC Prudence or HDFC Balanced

      Hope your clear .

      • Harshit,
        thank you very much, it is very clear to me .
        but i have one doubt -when i surrender jeevan chaya policy then how much amount of 53k premium will be return to me ? is there any ratio of this?
        please advise

        • Hi Vinod,

          Surrender value varies from policy to policy, u will have to check with LIC or check the policy document.

          Note that the surrender value will also depend upon number of premiums u have paid till date.. sometimes it also makes sense to make it a paid up policy after completion of 3 premium paying years… So check the policy documents and find out what will be the best for u…if still ur confused than let me know… i shall help u out…

  77. Hi I am Murugan ,28yrs, married -wife 24yrs and 1 child(6month) . I have not any insurance except LIC -Jeevan anand , SA-8Lac and premium 40k for 21 yrs term.
    1. Is this plan is okay for me only .
    2. Should I increase insurance for family too?
    3. Could plz suggest any good plan for saving in future and confirmed returns?

    Please advise

    • Hi Murugan,

      You are under-insured & the premium you are paying is to high for a SA of 8 lacs. Would recommend u going for a pure Term plan with high SA.

  78. I have zeroed on taking HDFC Click 2 Protect. However the premium differs (3-5%) if i go thru HDFC distributor. The distributor says if you go for it online, I’ll hv to do a lot of follow up for everything. Can anyone suggest going directly with ONLINE is advisable or not?


    • Hi Aniruddha,
      3% is not a big amount if this distributor is genuine & will also help in future.

  79. My age 34, I have purchased HDFC click2protect on 11-Apr-2012 for sum assured 75,00,000, Total Premium I paid 12,385 . I am having Diabetic and based on past health history, after all medical tests they loaded extra charges and now the premium amount Rs.22,238 . they are asking my confirmation and pay the remaining due or cancel. I feel that amount is too costly, thinking to cancel it.

    Hemanth/Anil, Can you please suggest me what is the impact or consequences if I cancel HDFC click2protcet and buy some online term insurence policy from Aviva or Kotak, etc. also Please suggest which one can I buy Or shall I continue with click2protect ? Awaiting for your suggestion before I proceed further.
    Thanking you.

      • Hi Eswar,

        There is no harm in trying out other companies, if you find them cheaper than go for it, but make sure that they have a good claim settlement ratio. I have good experience with Kotak E-Preferred. Try it.

  80. Really a good article on term insurance.
    One question :
    I am a working woman. My husband is a businessman.
    In total our family income is around 5.25 lacs per annum.
    70% of my salary contributes to savings and investments and I have proof of my income as well. But my husband (being into dairy farming) has no income proofs to be enclosed with the application form.
    Could you guide if we can buy term insurance for my husband ? How much ?
    I checked that I will get a cover of 50lacs for 30 years easily but in case of my husband income proof will be required, kindly advise.


  81. I have opted for HDFC Term Plan, I have purchased the same against as i have Tobaco user but i have left smoking 2 year before , can you please help

  82. Hi Hemant after reading this entire artical & comments still one Q in my mind. R all these or any term policy cover international level also. for exp : i travelling to US and some mishapping happened in that condition these Co. give claim in INDIA to my nominee?? I already called up HDFC for this but they also not clearly say or comments on this topic their comments is ” Every time to travel to out of india u must informed HDFC for the same”. Request you please provide ur valuable comments & expertise on this..

  83. I am 23 years old non-smoker,want to purchase a term insurance of 1 crore. I have few questions because
    @ 23, i am more concerned regarding putting money at right policy.

    1) HDFC Click to protect v/s HDFC Term plan
    Both are hdfc plan and click to protect is much cheaper. Which one should i prefer ?

    2) HDFC v/s ICICI — which one has better claim settlement rate ?

    3) LIC Amulya Jivan v/s SBI Shield Plan – In terms of claim settlement andreliability

    4) Next year, LIC is also launching cheaper term insurance. Should i wait for that because i am still 23 only.
    What are the expected prices for that in comparison to other companies ? will it be competitive enough or will
    remain the costliest ( I know thier claim settlement is best)

    Thanks in advance

  84. Death due to organ failure or unknown disease on next day of policy becoming active . Will one get full benefit ?

    • I hope Click2Protect covers insurance from date of proposal (unless proposal is not accepted after necessary scrutiny and checkup later) and death due to both medical and accidental cause is covered.

  85. Hello,
    I applied for HDFC Life’s Click2Protect Plan after a lot of search on June 19th. I just walked in to the HDFC Life’s Kochi Office and enquired about the plan and the procedures to enroll it as all my attempts to enroll via online failed. To my surprise I was assisted by Circle head and a subordinate to complete the enrollment. Within a week I got a letter for medical checkup. I was not able to complete it till last Tuesday. Today I received a mail stating that my policy is active and in force from 6th of July. I also got a call from the manager who helped me to enroll and he gave me the policy number and client id over the phone. I am fully satisfied with their customer support.

  86. Few days back i also buy click to protect plan. I just want to highlight some points may be people do mistakes while fill form online & not get there policy docs or any details further. 1. Please read entire form first than start to fill. 2. Save every PDF doc file which is prompted in between or after fill complete form. These are approx three pdf files. 3. Most imp after fill entire form must save final PDF doc before click on complete or finsh or close window. 4. Once u save all PDF docs take print-out every page & do correction if any thing u want to edit or correct (rember to sign on every correction or cutting in page). 5. Sign each & every page. 6. Final step visit any HDFC LIFE office and submit all these doc Hardcopy with other required docs like Photo/ID proof etc. 7. If any one suggest u or say medical not required plz insist for medical or tell HDFC LIFE if u not do medical i dn’t need ur policy (As per IRDA rule any policy more than 15Lac medical is mandatory). 8. Visit hospital (HDFC provide u details coz this medical on HDFC cost) and complete all formalities. 9. If any illness found in medical may be HDFC offer u more premium for continue this policy or they offer u less cover in same premium amt. So its ur call where u want to go or third option simply say no or cancel ur policy HDFC should be return ur amt. Hope my experience help u and clear ur doubts…..

  87. I applied online two weeks ago for click2protect for 20years for 30lac with premium 8K pa. After submitting all docus & medical checkup, my premium today refixed to 15K. No option for less cover in same premium amount. I have mild high BP, overweight by 2 kg and went through successful kidney stone key hole surgery. Should I accept new term ?

    • Hi Kiran,

      In term insurance, especially online, underwriting norms are too strong. Companies charging a very less premium charges additional premium for any risk they perceive to be higher. You can confirm from some other companies.If they too charge the additional premium, you should go ahead with your existing one.However, if any company accept without it compare premium rates and then take a decision.

  88. Or if a scrap current proposal and submit fresh proposal, do i have to submit all supporting documents and go for fresh medical checkup.

  89. Dear SIr,

    Could you please suggest which company is providing good term insurance policy for NRI.



  90. Dear Hemant,
    Last year i have taken online AVIVA i-Term policy, my age is 27 year, my health condition is good. While filling up the form (as no disease i am having at that point of time), i have ticked no in the medical health condition. Later on i read the doc carefully, in that its written if any time i had Jaundice or other disease. I ticked it No, but i had that 8-10 years before.

    My question is: Should i inform this to Aviva at the time of renewal, if yes what will be impact in terms of premium on renewal and the future settlement if event triggers?

    Please reply, Thanks

    • Hi Kanhayia,

      On the first instance you should have disclosed your medical history during application. This will be counted as suppression of facts during claim and company can deny it.
      You should contact the company and inform even before renewal and inform accordingly.

  91. HI, DEar Hemant,
    I am a diabitic patient and my age is 42. than if should i buy hdfc iprotect term plan or any other . and is their any load on the premium also if i declare reply.thanks

  92. Hi All,

    I have been following this site for sometime and it is a very informative one…

    I plan to buy a term plan online. I have 2 questions with respect it this and am more concerned because i will be purchasing it online and not through the agent. However, below mentioned may be applicable for both:

    1.) I have given all necessary (correct) information that is required for getting a policy. This is as of today. Now, in case if i have some health issues (e.g B.P or Diabetecs) after 3 years of policy going online.
    a.) Can the insurance company increase my premium going forward.
    >> Over here do i need to keep on updating personal details on policy regulary in case there has been any change from what was mentioned in the policy. e.g initially i was a non-smoker however after 2 yrs i have started smoking. This is important since my policy claim might get rejected since the company might say the details provided was incorrect and unfortunately, i won’t be there to defend it.

    b.) In case of any critical health issue, can the company decide to close the policy.

    Thanks ,

    • Hi Shailesh,

      1. In life insurance once your policy is issued the premium same for the term. These are long term contracts and even if you are diognized with any illness after taking the policy, there is no impact on the premium you are paying.
      2. In life insurance, the company verifies all details/facts before the issuance of the policy. Once policy is issued the company is bound to give you the claim provided you have not hide any facts at this stage.
      3. The term insurance covers death due to any reason (except suicide in 1st year or terrorism & others as illustrated in the terms).If there s any critical illness the policy is not impacted at all as its a death cover. If you have taken a CI cover then company will give you the CI claim and the rider will cease but basic death cover will continue.

  93. Insurance companies frequently ask little more than your stated income in
    the insurance applications.
    Life Insurance Medical Tests

  94. Dear Hemant
    I really appriciate your knowldge on this topic and the way you are serving/guiding people.

    I was really confuse regarding to which term plan should I choose, and finally I selected HDFC Click 2 protect.

    Kindly guide if you have some divergent view.

    Furthe kindly explain what is terorrist attack means, is it attack by any person have some malafied intension and have some jealousy or attack from terrorist comes from some enemy country.


    • Hi Ravinder,

      Attack by some enemy country will ne counted as war.Terrorist attack is majorly attack by any person or group for some malafied intension. There is a detail definition in insurance which you can get from any company.

  95. Hi Hemant,

    I shifted to Dubai 4 months back and may stay another 5 years . I am loking for term insurance plan for 1 crore and 25 years.
    I decided go for HDFC click to protect plan. But as per their CC , they are not offering this product to NRI. Only LIC, ICICI and Kotak is offering term plan to NRI.

    Below are the premium details for 1 crore ( 25 years-term plan)
    LIC ( Amulya Jeevan)–37,000 ( premium) ( 25 year) 96% claim settlement ratio.
    Kotal E-term- 14,800k , 87% CSR +( stepup option for Rs750)
    HDFC – click2Protect-13,500- 91%CSR
    MetalifeAlico ( UAE based policy)-22,000 83%CSR
    ICICI ( Icare)–18,000 -89%CSR( After filling the online form I got message stating”unable to process online, contact our sales representative”.
    1) Can I buy HDFC click2protect , during my 1 month vaccation stating I am staying in India?
    2) LIC premium is high. Kotak is ok, but CSR not so great?
    So I am confused…Pls suggest me

    • Hi Raj,

      1. There are conditions laid down to confirm your status as Resident Indian or NRI. If you are an NRI and come to India, only when you meet the minimum stay requirement you can call yourself as resident Indian during that year. For one month stay, you will have to buy Insurance as an NRI only.
      2. CSR alone cannot be the criteria for choosing any insurance as the reason for rejection can be many.Hence you should evaluate on other factors too and then take a decision. In my view Kotak with 87% CSR and lower premium should be considerable option.

  96. Hi hemant. Please tell me if aviva term plan is good enough. How is the company claim settlement ratio. I am taking a insurance of 25 lac for 35 years. There is big diff. In perm. Of aviva and hdfc as well. Please reply fast as i have to take it before my b’day to save premium. Any other suggestions are welcome.

  97. Hi Hemant… I must say excellent job…Indians lack awareness about term insurance and think Insurance means investment…

    I have a query for you:
    I am 27 years old, non smoker.. Want to take 1 crore term policy. Zeroed on HDFC Click to protect and ICICI I care/Kotak e-preferred.
    1)Please advise if i should divide 1 crore cover between 2 policies. Also do I need to disclose to the insurers that I have applied term insurance with the other company.
    2) Does HDFC Click2protect has medicals if sum assured is upto 50 lacs?

    Please guide me….

    • Hi Shiv,

      1. Its advisable to go with one company for easy claim.More than one means family will have to complete the process of two companies to get th eentire claim.Sometimes it can be cumbersome.
      2. Yes, if you are taking any insurance policy, then the company ask for existing policies or info on any proposal.Its always advisable to disclose it.

      3. Yes medical test will be done.

  98. Dear Hemant ,
    Myself taken HDFClife jeevan samruddhi plan . Initially they told me that I would get 13-14% returns. But later I found that I am not even getting my principal amount after maturity . I paid premium for 5 months. Please tell me that should I continue or not?


    • Hi Pradeep,

      You have been a victim of misselling as it is a traditional plan where such high returns is not a possibility.
      If its not matching your requirement then there is no reason to continue with the product.

  99. myself a businessman age of 42. although i have some policies from LIC like JEEWANSHREE, MONEYBACK, etc. some of them are going to be complete. now i am in seach of a TERMPLAN for 20- 25 years for 50 lacs. would you please guide me a best plan according my requirements . one thing more i would like to ask you that is it true that buying online plan is easy to start but on maturity or the time to obtain claim is not so easy. is it possible to get claim as offline mode.

    • Hi Dharmendra,

      We are yet to experience good number of claim processes in online term plans.
      However, do note that there are verification’s during claim process. The scope of these varies from case to case. The more due deligence a company does during issuance the lesser is the time taken for claim settlement. But since insurance is a contract, the company is bound to pay the claim (Whether online or offline) unless there are some valid reasons.

      For your term insurance requirement you choose any online product. But buy the product through an agent if any element of doubt remains.

  100. Dear HEMANT,

    i want to purches a online term insurance plan i think hdfc is best ,, but some cofusion abt plan. online plan review is not good i heard about it can u suggest me which plan is best for me hdfc online or offline. i want to go with hdfc only..

    • Hi Raam,

      Yes, there are some issues in online products as the segment is new and we have yet to experience this on many factors.However, there is always scope of improvement.
      If any element of doubt remains then good to take a term plan through an agent.

  101. Hi, I have a home loan of Rs. 80 Lacs from Axid bank. Axis Bank has taken a policy from Max New York Life Insurance against Loan on me. The policy documents are with my Bank. But I have not undergone any medical examination etc., neither the insurance company ever contacted or spoken to me.

    Will this insurance be valid in case of any unfortunate incidence?

    Please comment.

    • AD

      Most banks have bundled insurance with their home loan products.These are loan cover term insurance where the Sum Assured keep son reducing with your repayment.When loan is fully repaid then the insurance also goes to nil value.Thus, in case of any unforeseen happening the company will recover the outstanding loan fro the insurance and there will be no liability on the family.

    • TH,

      HDFC, Aviva , Kotak or Religare are active players on online term plans.However, you may not get all riders in these products. If you want to buy through an agent then Kotak, Birla and ICICI have competitive rates with benefit of riders.

  102. Hi All,

    I am 30 years, and have finalized to buy ClickToProtect through online route for a tenure of 30 years & 50 lacs. I am confused now about the Medical tests. I am in a small city, and confirmed with HDFC life office guys too that upto 75 lacs medical tests not required.

    I have 2 specific queries:-

    1. Can anyone who already bought this policy please let me know that can HDFC ask for medical tests later i.e. while processing my application. Not that i am afraid of medical tests, but just don’t want to presume anything now. FYI, i tried filling form for practice, without completing it to the end, from their questions, my profile shouldn’t raise any suspicion to them (though i also prefer tests myself)

    2. Would it make a difference at time of claim if medical tests was done or not ?

    I would be really grateful if someone can reply to my urgent queries asap.


    • Hi Gaurav,

      1. Even if there are no medical test within a certain limit, the company may ask for some if they found any medical history or any risk associated with your job etc.

      2. Once policy is issued then company is liable to pay the claim even if insured gets diagnosed from any illness afterwards. If company does not take a medical test as per their policy, then there will be no impact on the claim.

  103. Hi,

    Can you suggest good Term Insurance with riders please…
    About me: Male, 27 yrs, Non smoker, married


  104. Hi All,

    !!! PLEASE READ !!!

    About a month back I went through all the posts of this forum in one shot as i was looking for some inputs for a pure term plan. I had finalized on HDFC ClickToProtect and that too doing everything myself by going directly to their website. Since a lot of the posts on this forum was about Online vs Agent route, and there were people defending human touch i..e agent route passionately and the arguments against online route was supposed to be hassle, poor service, bad experiences of some people, i thought to share my experiences and opinion.

    1. I got my policy document at my address within 15-20 days of my completing online form i.e. it includes time for my documents courier to reach HDFC, and courier time for policy document to reach my address.
    2. There was also option of uploading documents, emailing, but that would have required some scanning work for me (not because i don’t have soft copy but because documents needed to be self attested), so i opted for courier route.
    3. Within 2 days of my submitting online form, i got confirmation call from Customer Care.
    4. When my courier reached HDFC, i received confirmation email.
    5. I also called customer care for a status check which was promptly answered.
    6. After receving policy document, i got another call to check my satisfaction and to explain the details to me again.

    So important point is – if the form is filled correctly, all details disclosed correctly, and documents are complete, there should be no problem in choosing online option. And remember, the problems in online route are not due to mal intentions or ignorance of customer but the problems are due to some communication/infrastructure issues, so we can say with time online facilities will evolve more to serve customers better.

    Regarding agent route, i don’t agree much with the argument that agent will be of help if claim need arises as term plan is a long term product, and chances would be really less that same agent would be available in future. Secondly, the problems of online route were quoted in favor of agents but don’t we know the problems faced due to agents. Probablity of having problems thru agent route is much more than online route (i don’t want to go in details of problems of agent route). My all experiences with agents have been either bad or costlier. I strongly encourage people to develop some basic understanding themselves and do some basic homework. And even if they have to take an agent’s advice, ask tough questions to agent, try to consult multiple agents for comparison on advices given (agents generally don’t charge for advising product, their income comes through commission when a customer buys the product)


  105. Forgot to mention in my above comments that i also got an online account created automatically for my ClickToProtect policy and i got login credentials by email. I will get premium reminders on email and phone, and i can pay online and generate receipts online.


  106. Hi

    I am planning for term insurance but i am confused regarding term insurance
    so ,it will cover all types of death benefits (Natural or unnatural) or not , & from which company is good regarding service & also i am having different policies in TATA AIA & LIC

  107. Hi All,

    May be this is the old thread . But finally today i took the HDFC Clik2 Protect policy online. Form filling in online website was tedious but its good. even all the proof documents can be uploaded/emailed instead of physical copy. i did uploaded all are good so far. made the payment with credit card . after that i got Application form/Cover Note/Illustration Note as PDF in email .
    now sitting with fingers crossed . hoping the rest of the process will be fine.

    Thanks for the great article and for all the comments. i learned a lot from you all folks.


    • Hey Jay,
      Did you get your policy bond? Did ya check if all the information you filled in the online form is printed and acknowledged in the policy bond? A goof-up happened in my HDFC Click2Protect as I have mentioned on this page.

  108. After a lot of debate I have applied Click-2-Protect policy online, and my experience was good. I have applied on Dec 9th and emailed the documents on the same day. Received a call from HDFC after 3 days for medical tests; completed the tests on Dec 18. The policy was issued with the start date of Dec 21 and received documents on Dec 27.

    • Dear all,
      After reading all the debates in this blog, I am unable to know that why people are so keen on HDFC click 2 protect. whereas several cheaper plans and well managed websites are available by another companies. I just want to compare HDFC and Aviva online TERM plan. I am 36 yrs old and I am opting for a sum assured of 50 lacs for 34 yrs (in Aviva) and 25 yrs (in HDFC
      ). My premium amount is Rs. 6472 in case of Aviva and it is Rs. 9000 in case of HDFC. Following are my viewpoints regarding aviva:
      1. Save in premium amount approx. 2500 per year which can be invested in mutul funds to get some returns.
      2. CSR of Aviva is 90% against 97% of HDFC which is not so bad among other players like kotak,birla,bajaj allianz, as per annual report of IRDA 2011-3.Website of Aviva is very user friendly and even a novice net user can fill up the form online whereas it is very tedious in case of HDFC.
      4. The coverage provided by HDFC is my age of 61 and wheras it is till 70 yrs. in case of Aviva. As coverage is upto 70 yrs. and hence there is some chance of getting return back for nominee because most of the indian people die between 70-75 yrs of age.

      All suggestions are acceptable regarding my views.

      NEEL Kant

      • Hey neel kant,
        1. Don’t take term insurance as a means to get some ‘return’for the family. IMO, coverage till 71 may not be necessary. Who will be financially dependent on you at that old age? When an insurer promises coverage till old age like 71 yr, it must have ‘built-in’ the cost in the premium. Its not worth to pay that cost if you think nobody will be financially dependent on you after 60.

        2.Don’t go by things like ‘good website’ and ”ease of form-filling’ etc. Just decide looking at CSR, price (premium), and the level of trust you have on the insurer. After all, you have to fill the form only once.

  109. Dear Sir,

    Thanks for provide information, Sir my mother age 48 year, she got pension after my father approx 23,000 pm. my father was in army & no more now. my mother wants term policy of 50 lacs.
    please advice which policy better for him

  110. Hi Sunil.

    Your mother wont be eligible for term insurance since she is not employed nor generating income from business (Except pension). Secondly why does your mother want insurance cover in the first place unless she has dependents. If you are working and earning an income then it would be better that you take term insurance as it would be very economical (since you are very young).

  111. Seeking opinions of redaers of this popular blog on a dilemna I am having at the moment.

    A number of insurers provide a ‘built-in’ copy of application form in the final policy document . I belive that the policy document is a ‘Contract-document’ between the proposer and the insurer and the “in-built” photocopy of the form is an excellent way of acknowledging the information revealed by the proposer. I understand some insurers like Aegon Religare, even attach copies of e-mail correspondence (after submission of onlline application) to the policy document.

    However, I was shocked to see that the Policy document of my HDFC Click2protect contained only half and truncated material information provided by me in the on-line application-form.
    For example-. I had mentioned that my mother suffers from “Diabetes and Hypertension” but the policy-print showed only a few characters i.e.” Diabetes a”. Similarly, I had revealed that I had suffered from “(i) Gastro Eusophageal Reflux Disease (ii) Oesophagitis, (iii) Hiatus hernia (iv) Laryngitis” in past. However, only the first five characters ” Gastr” got printed in policy.

    My doubt is, if tomorrow I die of hypertension or Oesophagitis related disease, HDFC Life may repudiate my claim saying I didn’t reveal this vital information!! How will my family prove that I had honestly revealed all the material information?
    HDFC Life says that due to space limitations only 4 or 5 characters get printed on the form. How funny!! And how disappointing!
    I invite readers opinion on how serious is this? Shall I return the policy in the ‘Free Look period’ or am I just being too cynical?

    • I am going to return the Click2Protect in the freelook period now.

      I am made to belive that they deliberately do not acknowledge some key health information declared by the proposer so that they have an excuse to reject my claim saying that the proposer had withheld material information. Readers here, what do you think?

      And looks like I am not alone in this Click2Protect torture inflicted on by HDFC Life upon honest, transparent, revealing and aware proposers like me. I saw a few more similar comments in various blogs.

      All my efforts to communicate with HDFC SL have failed. Dealing with them is like banging your head on the wall.

      • My experience with Click2protect where HDFC told me bluntly that they cannot incorporate all my disclosures (health etc.) in the policy document makes me believe that-
        1. The much clamoured about ‘give personal health data honestly ‘is something the insurers least bother about. What they really care about is collection of premium only.
        2. They are much smarter than us! By placing an online software which accepts the proposer’s health details but omits most of the material information while printing, they deliberately leave some scope for rejection of claim.
        5. It looks that insurers in the name of term-plans are selling a false sense of security to thousands of young people –the web-connected and well off people. Such an insurer will not bother if a few people like me -honest and transparent, aware and demanding (pardon my arrogance), back-out and return the policy in the free-look period.

  112. Mr. SK,

    I totally agree with you. The insurance proposal form should contain all the details that you have filled up. The best option is to write a letter to HDFC explaining them that you want all the details mentioned in the proposal form failing which you will cancel the proposal. If there is no space available in the PDF then its HDFC’s problem. They need to sort this out. IF they dont respond to you then you can think of taking the step of cancellation. At least they will wake up and try to rectify their software glitch.

    • To
      Mr Fernandes

      Kindly provide your valuable guidance as said below:
      After reading all the debates in this blog, I am unable to know that why people are so keen on HDFC click 2 protect. whereas several cheaper plans and well managed websites are available by another companies. I just want to compare HDFC and Aviva online TERM plan. I am 36 yrs old and I am opting for a sum assured of 50 lacs for 34 yrs (in Aviva) and 25 yrs (in HDFC
      ). My premium amount is Rs. 6472 in case of Aviva and it is Rs. 9000 in case of HDFC. Following are my viewpoints regarding aviva:
      1. Save in premium amount approx. 2500 per year which can be invested in mutul funds to get some returns.
      2. CSR of Aviva is 90% against 97% of HDFC which is not so bad among other players like kotak,birla,bajaj allianz, as per annual report of IRDA 2011-2.Website of Aviva is very user friendly and even a novice net user can fill up the form online whereas it is very tedious in case of HDFC.
      4. The coverage provided by HDFC is upto my age of 61 and wheras it is till 70 yrs. in case of Aviva. As coverage is upto 70 yrs. and hence there is some chance of getting return back for nominee because most of the indian people die between 70-75 yrs of age.

      All suggestions are acceptable regarding my views.

      NEEL Kant

  113. Thanks Steven for your suggestions.

    HDFC service helpline guy has now told me to visit their office, submit all information (which I want to be acknowledged) on a sheet of paper, and seek acknowledgement from the Manager there.

    Don’t know whether the local office guys would oblige me (Usually the ”offline guys” are not very keen on troubleshooting online policies). But I am not going to leave it like this. I have been honest and transparent in declaring my information, and I expect them to be honest and transparent in acknowledging it.

    I will share my experience with TFL readers after I visit them.

    I wish to share with TFL readers, a learning from my experience about the on-line mode of application. Only filling of form carefully is not sufficient. Do check your final policy bond to see if all the vital information you declared, has been properly captured and acknowledged or not.

    The above is especially true for HDFC Click2Protect, which seems to have some glitch in its online system, which allows you to key-in your full details about self and family health history, but does not fully print it in the policy document.

  114. HI Neelkanth.

    I agree with your observations. HDFC does not provide term insurance beyond age 65 years. Usually any insurance company does not deny any claim unless there has been supression of any material information or death has happened under suspicious circustances which warrants an investigation. But the fact that we are worried about is that many small players are seen exiting this business since its becoming difficult to pump money by the indian promoters (74% stake) since they have a majority stake while th foreign partners has to contribute a smaller amount owing to its 26% stake. This can lead to amalgamation or consolidation of smaller players. No matter IRDA has regulations in place that they will protect the interest of policy holdersm but still it instills fear if such an event were to take place with the company with which you have insured. Thats why its better to go with larger players.
    Otherwise its perfectly ok to go with AVIVA.

  115. i want to take insurence for my son age21. for assured sum of 1.0 crore after 15 or 20 years. which is best reliable plan ?

  116. I want to file a complaint against some members of HDFC :
    Mr. Hari OM (Manager),
    Mr. Deepak,
    Ms Priyanka.

    These people are very arrogant and not helpful at all. I request them to settle the bill amount but the response is too bad and they even don’t have the correct address of my home. After providing the correct address they again putting someone else address.
    Now they are even not ready to speak in proper manner and not sending any executive to collect the amount.
    Ms Priyanka said to me that why dont you send your friend in their branch? I dont understand these type of conversation.
    And i dont know what the hell she is talking about.
    So many different peoples are calling me from HDFC from their personal contact number.
    I have even filed a complaint against them on their site as well as here, at Consumer Court site but so far no action has been taken on this case.I hope i will get the proper solution of my complaint very soon.

  117. what supporting documents are required for HDFC click2protect plan and which are other good policies of HDFC Life
    is it good company?

  118. Respected sir,
    i am 30years old married non toboco user i would like to buy an online term poliy. in your view which is the best poicy for me to buy.

  119. Really an absolutely fascinating domain. I was looking for selective information about
    HDFC Life Click 2 Protect for 5 hrs today and finally discovered the content i was looking for!
    Thank you a 1000 times! -Melvina

  120. Goodmorning Mr. Hemant,

    I would like to clarify two doubts with you; one is my own and the other is
    on behalf of my colleague:-

    My doubt is on CSR of insurance companies in India.
    Which all term assurance plans (offered by various insurance companies)
    are having CSR above 95% in 2010, 2011 and 2012.?

    The insurance company having 99% CSR (overall) has rejected 23% of their
    term assurance claims in 2009.!!!. Then what will be approach of companies
    with lower CSR.?!!!.

    During 2009, I was in India for my annual leave and I approached the Zonal
    Head of LIC for getting these details. They advised me to submit a request
    under right to info act. Later years I couldn’t collect these data as my holidays
    were too short. Hope this will be an informative and sensitive report if you
    can gather the details through direct channel or string operation.

    Second doubt is from my colleague:-
    Is it worth to start SIPs in one or two long term GILT funds or Bond funds in
    a rate decreasing scenario (like what we are going to face). if so, what
    should be the appropriate time horizon.?



  121. Planning to buy clcik2protect-30 year Term plan.Wanted to know if i survive,my family does not get the sum assured rite,its only when i die within the policy term,family gains.

  122. In the age of facebook where all your family members have a profile..I dont think one needs an advisor to help them with the claim process…I’ll make my family aware of all the required processes..

  123. Hi Hemanth,

    Highly appreciate your website. I have learnt a lot from it.
    I am going to take the online term insurance policy.
    Quick question here.
    1)What is the benifit to the customer in splitting the insurance cover of 1 crore between two companies of 50 lakhs cover ?

    I understand by splitting the insurance with 2 companies the premium paid for two policies of 50 lakhs cover is marginally higher than taking it as a whole of 1 crore cover with 1 company. Please tell all the Pros/Cons of both scenarios, which will help me in choosing the best that suits to me.

    Thank you

  124. Hi,

    I am looking for term plan for 50 lacs for term of 30 years or more. My age is 27 years. Please help me decide between HDFC Life , AVIVA and SBI Life.

    Also please tell me if online plans are safe or i should go for traditional paper pen plans. The agents tell me that online plans are having more rejections as of now.


  125. Hi Hemanth,
    First i would like to appreciate you for finding time to write this post and help others by replying to their queries.
    I do see this post has published way back in 2012. Though i am 32 i couldnt take a teem policy yet and now i wanna go for one. Are you still suggest HDFC click to protect. I checked LIC offline and their premium amount is too high. On this thread u mentioned lic would come up with online term plans by march. Is that happened? Please guide me with your suggestions

  126. Hi Hemant,

    I had taken 3 years back HDFC Term Assurance Plan for 25 Years.I pay 23000 Rs annualy for 50 Lacs insurance.Now Click 2 Protect Online Plan from HDFC are much cheaper .For the same 50 Lacs insurance,only Rs 11,000 payment annually.
    Shall i discontinue Term plan and buy online plan.Kindly Suggest.


  127. Hi,

    I had taken HDFC Term Assurance Plan 3 Years back and now paying 23000 Rs for 50 L insurance. Now in Click to Protect Plan ,same can be done by paying 12000 Rs.Shall i surrender that plan and opt for Click to protect.Pl Suggest…


    • Shah,

      The premium difference is huge almost 50%. On first thought yes it would be beneficial. But its wiser to avail the new term insurance first and then decide to discontinue previous one cause you will again undergo the medical test.

  128. Hi,

    I have a query.. Does this insurance cover NRIs? I am an indian while taking an insurance but can become an NRI later and die in other country. In that case, will my family get the money..


    • Tippu,

      This policy is available to NRIs also. So need not worry. But whenever you have a change in your status i.e. Resident to NRI, then you need to inform the company and complete the formalities for NRIs.

  129. I am Murali Krishna Vemuri, an unfortunate customer of HDFC Life Insurance company, having purchased a policy with the number*1939.

    Name: Murali Krishna Vemuri

    Policy Number:*1939

    I purchased the said policy online and I was asked to send certain documents by courier.

    I couriered the documents However, to my utter dismay, HDFC Life does not even confirm the receipt of my documents.

    HDFC Life is not ready to disclose the further steps on my policy and when and if I will receive the policy bond.

    Whenever I try to contact, they send e-mail that in 2 working days they will update me, but never do so.

    What HDFC Life does is plain and clear cheating, they are offering a product which they don’t know themselves and they don’t have anything called customer service.

    On top of everything, if you ask them the status of your application, they will always give a new contact number and you have to keep dialing the new number, unfortunately they have umpteen number of different numbers.

    Regrets to be a HDFC Life customer

    Murali Krishna Vemuri

    • Dealing with HDFC Life is a nightmare Murali. I had a similar experince like yours. Dealing with their customet support for Click2protect wa slike banging your head on wall. However, I purchsed Click2 protect and holding it now, but had a harrowing experince. But my sugestion is , whether or not you you choose HDFC SL, go ahead and get the term insurance as soon as possible. Do not delay it. If HDFC is delaying, choose another, but do not remain without cover.

  130. Hello, needed small adivice… For the term plans, I actually narrowed in for HDFC due to its betterment and lower costs comparitively. Later, i came to know that Max Life insurance for the same 1 cr term plan, they have very less premium with 35 yrs and also 40K per month until 10 yrs making it still more better than HDFC . But the thing is Max Life insurance are new ones and getting into trust with them seem to be an issues. Not sure when they ll be here and when they ll go with HDFC having a mark here … Can you help to narrow down which can be bought ? Thanks ..

    • Rajesh,

      The product you are talking about us a new concept in India wherein instead of a lumpsum a term plan gives monthly payout for a specified period. But this will be beneficial in those situations where you don’t have liabilities to repay so that your family do not have to rely on their resources.
      With regards to companies. Max life insurance is in India for sometime now and not a new company.
      In my view a combination of such products where there is monthly payout and a lumpsum payout term insurance goes well.

  131. I’m following this thread to zero in on a term plan for my husband and I.

    Why don’t we have date stamps on each message Hemant? That might help us 🙂


  132. Hi hemant,

    i am 27 and hv taken HDFC PRO GROWTH PLUS (ULIP) last week without much research, but after taking the policy i got to know that ULIPS are not that good. plz tell me what should i do now?? should i cancel this policy as its been only a week and as i can do this. one more thing which policy should i take as i dont hv any other policy and want to invest 50k per annum.


    • Altaf,

      There is a free look period of 15 days from the date you receive the documents. In this period if you are not satisfied with the product you can return the policy to the company. Your premium (after deducting few charges) will be returned to you.

      If this period has elapse then there is no other option but to continue as now ULIPs come with a lockin of 5 years. Even if you surrender the amount payable to you is deposited in a Discontinued Fund which is paid to you when 5 years gets completed. But surrendering at this juncture won’t yield you any benefits and you will have to forego the premium paid.

      for buying an insurance avail a good term insurance. For investment consider mutual funds.

  133. i would like to buy term insurance for my sons. Is it a fact that –

    1. Term insurance is only applicable for those who are employed?
    2. is it not applicable for students?
    3. what about them who are presently NRIs and stand a good chance of returning ton India
    4. will the premiums be constant during ther term policy term?
    5. what would be the right amount of insurance for a 30 yr period considering time value of money for an equivalent of Rs 100,00,000 today.

    • V Sridharan,

      1.Term insurance coverage is based on one’s income and so yes employment is necessary.
      2. Its applicable to anyone within specified age limit. But for a student if there is no income how will the insurance company issue a term insurance policy. Its only through their parents income they can avail it.
      3. NRIs can very well avail a term insurance in India.
      4. Yes once is can sued premiums are constant.
      5. A better strategy will be to quantify your future needs and then calculate the required insurance coverage.

  134. LIC premium is high?

    Online plans are ” KAAGAZ KE AAM”.
    ( Mangoes drawn in paper – you can see but not taste)

    You can buy but would not get benefit so easily.

    MARO THO JAANO ( Bcz policy holder will not be there to see whether his nominee gets benefits from his policy or not, So paying Rs.8000 per 1 Cr is still costly only.

    Die to know LIC life insurance premium is more or less in the Industry.

    People fall prey to Online Plans…..
    Do know that servicing part is very difficult for online plans.

    Some lazy people sitting at table wants to have 50 lakhs and 1 Cr plan without medical tests.

    Do you say that private companies would simply pay 1 Cr for Rs. 8,000 to Rs. 10,000 premium??


  135. Hi,
    I purchase hdfc click life option of 50 lakhs. My question is what amount is nominee get on claim. Bcoz in Poilcy 3 option.
    105% of total premium/ 10 times of annunl premium/ 50 lakhs.

    • Hemant,

      The claim to nominee arises on Death of the policyholder. In such case the policy sum assured is paid to the nominee which is R 50 lakh in your policy. You should check your policy documents clearly as to what it says for the rest two options.

  136. I bought HDFC Life’s ULIP plan & submitted all the required documents and paid the premium. After that, they shared me the policy document along with the receipts. Whenever I tried to access my policy, it showed ‘No records found’ and when I called the customer support to enquire about this, their one & only answer would be ‘Technical fault and we will never be able to assist you’. For about an week, this was a routine answer that I heard on daily basis. I don’t understand that, if they were unable to issue the policy without any glitches, how are they going to manage my investment and provide me hassle free returns once my investment is done? My kind suggestion for you guyz would be don’t ever think of investing with HDFC Life Insurance product.

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