Do You Really Need a 10 Crore Term Insurance Policy? Here’s What You Should Know

 


Term insurance has long been seen as the most essential component of a secure financial plan. While traditional policies covered amounts like ₹50 lakh or ₹1 crore, the growing cost of living, increasing liabilities, and evolving lifestyles have made many consider higher coverage — including the 10 crore term insurance plan.

But the big question is — do you actually need a policy that big? Let’s find out what a high-value term plan offers and how a 15-year term insurance can complement your coverage needs.

What is a 10 Crore Term Insurance Policy?

A 10 crore term insurance policy guarantees that your family receives ₹10 crores if you, the policyholder, pass away during the policy term. It's designed for individuals who have significant financial responsibilities, higher incomes, or those wanting to leave behind a legacy.

Who Should Consider a 10 Crore Cover?

Not everyone needs such a high-value cover. But if you fall into any of the categories below, it could be the right move:

·         Earning ₹25 lakhs or more annually

·         Primary income earner in the family

·         Have large loans (housing, business, education)

·         Desire to secure children's education, marriage, and more

·         Want to maintain your family's lifestyle long after you're gone

Why Term Insurance Needs Have Grown

Over the last few years, inflation has risen steadily. A ₹1 crore cover that seemed sufficient a decade ago might not even cover basic family needs today. Urban living, private education, and healthcare costs continue to skyrocket. For many, a 10 crore term plan has become the new benchmark for meaningful coverage.

Where Does a 15-Year Term Insurance Fit In?

A 15-year term insurance policy is best suited for people who need short-to-mid-term coverage. It's ideal for:

·         Covering the duration of a loan

·         Protecting your family during key working years

·         Those nearing retirement but needing temporary security

It’s often more affordable and strategic when you want a top-up plan or to cover a specific financial risk.

Can You Have Both? Absolutely!

Many people now structure their insurance in layers:

·         Get a 10 crore term plan for long-term coverage (25–30 years)

·         Add a 15-year term insurance policy to specifically cover EMIs or business liabilities

This approach helps manage premiums while providing targeted financial protection.

How to Calculate the Right Coverage

Don’t just guess the amount you need — use a term insurance calculator to factor in:

·         Age and health status

·         Annual income

·         Liabilities (loans, EMIs)

·         Family’s lifestyle expenses

·         Future goals (education, retirement for spouse)

The calculator gives you a recommended coverage amount and suggests premiums for various tenures.

Benefits of High-Value Term Insurance

·         Large Financial Safety Net
Your family won’t have to compromise on quality of life, even in your absence.

·         Legacy Protection
Set your children or spouse up for a stable financial future.

·         Covers Major Liabilities
Home loans, business debts, education costs — all can be taken care of.

·         Affordable When Bought Young
A healthy 30-year-old can get 10 crore coverage for as low as ₹2,000–3,000/month.

Common Mistakes to Avoid

·         Opting for lower coverage to save premiums

·         Ignoring add-on riders like critical illness or accidental death

·         Hiding health conditions during application

·         Choosing an insurer with low claim settlement history

Avoiding these errors ensures your family gets what they’re promised.

Conclusion

A 10 crore term insurance plan may sound excessive — but for many, it's just right. If you have high financial responsibilities and big dreams for your family, it’s a smart way to secure their future. Pairing it with a 15-year term insurance policy helps you bridge the gap in short-term risks and responsibilities.

Whether you’re self-employed, salaried, or running a business — review your needs, use calculators, and make an informed decision.

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