When you buy term insurance, you pay premiums regularly until either the policy ends or you pass away. The important thing is — you have to decide the duration (policy term) at the time of buying. Once you choose it, you can’t change it later.
The goal of term insurance is to replace your income for your family if something happens to you. But remember, the need for this protection is highest when you’re younger — because your family may not have enough savings to manage on their own.
As you grow older, things change. By the time you’re around 60, your children may be independent, and your spouse might have a retirement fund. You may not have as many financial dependents as before.
That’s why many people choose a policy term up to the age of 60–70. Here’s why:
-
In India, the average life expectancy is around 70 years.
-
If you extend the policy beyond 70, your premiums will increase a lot.
-
The sweet spot is keeping the policy until you’re between 60 and 70 years old — it’s affordable and practical.
💡 Tip: You can also add extra features to your policy called “riders” to make it even stronger. One of the most useful riders is the Life Stage Benefit, which allows you to increase your cover at important points in life (like marriage or having children) without buying a new policy.