Source: The Indian Express

As the head of your family, you need to fulfill your responsibilities towards your loved ones and to provide the comfort, which they need. However, life is full of uncertainties and it is a need of every individual to sustain the same lifestyle for their family even when s/he is not around. While there may be many ways to protect family against life's uncertainties, none has the charm of term insurance products. While the thumb rule states that one should look at life cover of 12 times annual income minus investment assets plus any liabilities there are also some other aspects that one should consider. The amount of cover required also depends on individual needs, along with current or expected circumstances. This would include whether one is single or married, has children, financial obligations such as personal loans, mortgage, school fees, current income, assets, life expenses, and not to mention, lifestyle. While most of these may pertain to our family, one needs to account for expenses that will immediately precede or follow one’s death. Claims ratio is an important yardstick to measure the performance of an insurance company. One must select companies that have lower repudiation ratios.