Aegon Life iTerm is a term insurance plan offered by Aegon Life Insurance Company.
A plan which comes with an affordable pricing and provides you with various benefits surely, seems like the ideal plan depending on your family’s needs. The Aegon Life iTerm plan, is one such product that comes at a budget friendly pricing. In fact, this product is the cheapest term insurance product available in today’s market. However, the product comes with some drawbacks you should watch out for. For instance - it does not allow customizations for claim payout and limited pay options. Further, if we look into the purchase and claim settlements, the insurer holds a poor track record. So, we should take the low cost with a pinch of salt.
Beshak examines the top features and benefits in this Aegon Life iTerm Plan Review.
Key benefits of Aegon Life iTerm plan
- Life cover Benefit: The Aegon Life iTerm insurance plan pays an assured sum of money to your family if your death happens during the term of the policy. There is no maturity benefit in this policy - meaning, you don’t get anything back in case you survive the term of the policy. You can claim tax benefits under Sec. 80C of the Income Tax Act with this term insurance policy.
- Entry age for the policy: Aegon Life iTerm plan allows you to apply for the policy, when your age is at least 18 years and until you’re 65 years old.
- Increase your sum assured automatically: After choosing a suitable plan based on your family’s requirements this plan offers you the option to choose an increasing cover and grow your sum assured by 5% every year until you age 55 years.
- Cover duration: The Aegon Life iTerm plan, provides you the option to choose a cover till the age of 70 years. This means you can enjoy the cover for a few years beyond retirement too.
- Limited Pay options: If you’re someone who wants to pay off the premiums quickly, and get the burden off your chest, you can choose one of the several Limited Pay options available under this policy. You can choose to pay your premiums for 5, 10 years up to 60 years.
- Claim Payout Options: This policy offers various claim payout options out of which you can select an option that suits your family the best. Some of these options include -
- One-time lump sum; In this option, your family/ nominee will receive the entire claim payout in one instalment.
- Lump-Sum with monthly income: In this option the claim payout will be divided into one large payment, and several smaller payments on a monthly basis.
- Monthly income model: With this, your family or nominee will be paid a regular income, on a monthly basis for a certain period of time.
What are the Riders available with the Aegon Life iTerm Plan?
The Aegon Life iTerm comes with additional optional benefits that you choose as riders. This list includes -
- Comprehensive critical illness rider: This add-on pays an additional amount as a lump sum, in case you get a serious disease from a list of illnesses provided in the policy document. This money can be used to replace the loss of income and to pay for any additional health-related expenses your family might incur that won’t be covered by your health insurance plan.
- Accidental death benefit rider: This rider will pay your family an additional amount of money, if you die as a result of an accident. You can also use this rider to improve your overall cover in case your eligible cover amount is lower than the cover amount required for your family.
- Waiver of premium riders for critical illness and disability: These are great riders that everyone must choose. With this add-on - if you get a serious disease or a disability - you will not have to pay any further premiums. However, you can retain your term insurance cover until the end of the policy term.
It is not necessary that you will require each and every rider that comes with the plan. Make sure whichever riders you choose are beneficial and fulfil your family’s needs.
Why should you choose Aegon Life Insurance Company?
Here is a quick overview of the claims experience you’ll get with this insurance company.
- Speed of claim settlement: The company has settled 100% of its claims in less than 30 days. This suggests your family is less likely to face difficulty in the claim settlement process.
- Length of the claim form: This insurer has a claim form that is relatively short, indicating that your family will have an easy and seamless claims process.
- Online tracking of claims: The insurer provides your family the option to track their claims online and can also use the toll-free services provided by the company.
- Claim settlement ratio: Aegon Life Insurance Company’s claim settlement ratio is 98.01%, and the claim amount settlement ratio is 93.62%.
What are the disadvantage of buying this term insurance policy by Aegon Life Insurance
- Claims complaints: According to our research, we found that Aegon Life iTerm has a greater number of complaints compared to other insurers. This could result in a difficult claim settlement process and your family could experience some difficulties at the time of making the claim.
- Personal relationship manager: Aegon Life Insurance Company does not provide a personal relationship manager - someone to help your nominee throughout the claim settlement process.
- Home pick-up for claims: The insurer does not provide the option to pick up the documents from home. Your family/ nominee will have to visit the branch to submit the documents personally.
How is the customer service quality of Aegon Life Insurance Company?
- Toll-free: When it comes to customer service, our research found their response over the toll-free to be average.
- Twitter response: We found that the insurer's twitter response is also slow. Therefore, there might be a chance that your family or nominee might find it difficult to reach out to the company for any doubt or query related to the claim process.
About the Insurer - Aegon Life Insurance Company
Aegon Life Insurance Company formerly known as Aegon Religare Life Insurance Company is an Indian Life insurance Company. It offers Term Life Insurance Plans, Traditional Savings Plans and Unit Linked Insurance Plans. Founded in the Year 2008, it is a joint venture between Aegon N.V. and Bennett Coleman and Company Limited. The company is headquartered in Mumbai, with its branches across various cities. The CEO / CMD of the company is Mr. Vineet Arora.
What’s the final verdict of Aegon Life iTerm Plan?
Based on the 100+ parameters analysed by our in-house research team and after looking at all the product benefits, customer service, and claims experience - we give Aegon Life iTerm plan an overall Beshak⭐Rating of 3.7/5.