Term Insurance in 2026: Choosing the Right Cover for Your Family
Critical illness riders pay a lump sum on diagnosis, accidental death benefits add coverage, and premium waiver protects the policy if you are disabled. Riders are cheap layers of real protection.
Matching the term
The policy term should cover the years your family depends on your income - typically until children are independent and loans are retired. A 30-year-old should usually buy 30-40 years; a 50-year-old should match liabilities only.
The right cover amount
A common guideline is 15-20 times annual income, then adjust: add outstanding loans, children's education costs, and years of family expenses; subtract existing savings and investments.
Claim settlement ratio
Check the insurer's claim settlement ratio - the share of death claims actually paid, published annually by IRDAI. A 99% ratio means nearly every valid claim is paid; that matters more than brand recall.