Kathmandu. There is a growing demand in india’s life insurance market for term insurance of a risk-bearing nature rather than a long-term savings policy.
According to a market survey conducted by Tata AIA Life Insurance in partnership with research firm Nilsen IQ, term life insurance is the most popular policy for 31 per cent of the younger generation employees in India.
The survey, which focused on respondents between the ages of 21 and 28, showed a clear shift toward financial security among young adults. For them, term insurance is one of the best options for life insurance.
According to the report, the main reasons behind the choice of term insurance by the younger generation are its direct and clear conditions, affordable insurance fees and guarantee of long-term security.
Fifty-seven per cent of the respondents who were ready for term life insurance were willing to pay Rs 2,000 (Rs 3,200) per month as insurance premium.
As many as 18 per cent of the respondents had already considered pension and other retirement schemes. 60% of respondents consider health benefits to be a key factor in choosing life insurance. Men (65 per cent) showed more interest than women (54 per cent) for insurance policies of this nature.
Although the younger generation is familiar with digital technology, 53 per cent of those surveyed prefer to buy life insurance through bank advisors.
