Term Plan with Critical Illness and Disability Rider

A term plan with critical illness and disability rider¹ provides financial support in case the policyholder meets with a severe accident or is diagnosed with a critical illness. It provides enhanced coverage over and above the death benefit of a pure-term plan for an additional premium.

A term policy is a basic life insurance policy that provides your loved ones with financial support when you are not with them anymore. However, there may be other situations, like accidental disability or a critical illness, where you are unable to provide financial support to your family.

A term insurance plan with critical illness benefits and disability cover provides your family with financial support in such situations. But how do you get these additional benefits, and what do they cover

Let us find out more about term plans with critical illness and disability riders¹.

A term plan with critical illness cover is a type of life insurance that provides coverage for certain critical illnesses that may impact both the insured and their loved ones' financial health. The critical illness rider¹ pays out a lump-sum benefit upon diagnosis of a covered critical illness, in addition to the death benefit provided in the term policy, depending on the terms and conditions of the policy. This extra benefit can assist in the management of medical costs, recovery cost and loss of income caused by serious health conditions and help to keep individuals and families financially stable during difficult times.

Combining term insurance with critical illness riders¹ offers several benefits:

1. Comprehensive protection: You get coverage against not just death but also critical illnesses, offering a holistic approach to financial security.

2. Financial support: The lump sum payout from the critical illness rider¹ helps you manage treatment costs and living expenses and maintain your financial stability during a challenging time.

3. Affordability: Adding a critical illness rider¹ to your term plan is generally more affordable than buying separate policies for each coverage.

The following are the reasons why you may need term insurance with critical illness cover and disability rider:

Comprehensive financial protection

A combination of term insurance, critical illness cover and disability rider¹ offers wide financial protection. It is used to help prevent loss of life and financial problems due to serious illness or disability.

Support during medical emergencies

Medical care for serious sickness can be costly and can impact on earnings. Financial support through a critical illness rider¹ to cover medical and other costs.

Income replacement in case of disability

A disability rider¹ provides financial assistance in the event of an accident or illness that leaves the individual permanently disabled, in a way that prevents him or her from being able to work. This advantage can help in paying the day-to-day expenses and continuing financial obligations.

Protection for family goals

These extra features can help keep important family goals on track, even during a health crisis, including saving for education, owning a home, and saving for the future.

Enhanced peace of mind

Financial protection is more than life cover, and a policyholder should know this when taking out a policy so that they can focus on recovery and planning for the future without extra stress.

Here's a simplified breakdown of how it works:

1. You purchase a term insurance plan and add a critical illness rider¹ and/or an accidental disability rider¹.

2. You pay regular premiums throughout the policy term.

3. In case of unfortunate events:

• Death: Your beneficiaries receive the sum assured from the term insurance plan.
• Critical Illness Diagnosis: You receive a lump sum benefit from the critical illness rider¹ to help manage treatment costs.
• Accidental Disability: You receive regular income payments from the accidental disability rider¹ to support your living expenses.

4. When the policy term ends, the coverage expires.

The following are covered under a term plan with a disability rider and critical illness rider.

Coverage for specified critical illnesses

The critical illness rider¹ generally provides a lump-sum benefit upon diagnosis of listed illnesses covered under the policy. The exact illnesses covered may vary from one plan to another.

Permanent total disability

A disability rider¹ may provide benefits if the insured suffers a permanent disability that significantly impacts their ability to work or perform regular activities.

Accidental disability benefits

Certain disability riders¹ offer protection against disabilities resulting from accidents, providing financial support based on the policy terms.

Waiver of future premiums

Some disability rider¹ options may waive future premium payments if the insured becomes permanently disabled, allowing policy benefits to continue without additional premium obligations.

Financial assistance during recovery

The payout received through these riders¹ can be used for medical treatment, rehabilitation, household expenses, loan repayments, or other financial needs.

Eligibility criteria for term insurance with a critical illness rider¹ typically consider the following:

• Age
• Medical history
• Lifestyle habits
• Occupation

Required documents may include:

• Proof of identity (e.g., Aadhaar Card)
• Address proof (e.g., Voter ID)
• Income proof (e.g., salary slips, bank statements)
• Medical reports (if required)

It's important to disclose your complete medical history accurately to avoid claim rejection.

You can buy term insurance with disability and critical illness rider¹ by following the below-mentioned steps:

• Assess needs: Determine required coverage considering financial obligations and future goals.
• Choose coverage: Select term insurance with critical illness rider¹, enhancing protection as needed.
• Complete application: Fill out the form accurately, undergo a medical exam if required, and review policy details carefully.
• Make payment: Pay premiums through preferred methods to activate coverage and secure your family's future.

The table below shows the difference between critical illness and disability insurance. 

At Tata AIA Life Insurance, we understand the importance of enhancing the coverage scope of your term insurance policy for you. Therefore, we offer you various rider¹ options to enhance your term plan coverage.

Critical Illness Cover is available under:

• Tata AIA Life Insurance Non-Linked Comprehensive Protection Ride¹
• Tata AIA Life Insurance Non-Linked Comprehensive Health Ride¹

Disability Benefit Cover:

• Tata AIA Life Insurance Accidental Death and Dismemberment (Long Scale) Rider

You can choose the rider that suits your insurance needs for a little extra premium and ensure the financial security of your loved ones and peace of mind for yourself.

A term insurance plan that includes critical illness coverage and a disability rider¹ will offer a better financial safeguard than a term plan alone. While the life insurance component protects the family in case of the policyholder's demise, the additional riders offer financial support during serious health conditions or disabilities. These benefits, when combined with each other, can offer support to manage medical costs, secure income and provide financial relief in challenging times. Selecting appropriate rider¹ options to meet specific needs can enhance financial protection and help promote long-term financial security.