Life Insurance Companies

Claim settlement ratio of Term Insurance Companies is the most important factor to consider while choosing the best term insurance company. When we talk about an insurance company's claim settlement ratio it means the total number of claims settled by the insurer during a budget year as against the total claims received by the insurer during that year. This ratio helps in deciding the efficiency of the insurer as well as its trustworthiness. An insurance company with a high claim settlement ratio portrays the commitment and loyalty of the company towards the policyholders. The Insurance Regulatory and Development Authority (IRDA) observes and keeps a note of the claim settlement ratio of insurance companies in India.

Another factor to consider while choosing the best term insurance company in India is to check the availability of riders offered by the insurance companies. The add-on covers or riders are added benefits that are presented by term insurance companies. These riders are offered at the time of buying a term insurance plan to upgrade the cover received under the term policy by paying an extra amount.

Thus, while buying a top term life insurance policy it is important for the insured to look for the insurers who offer the option of adding riders to the policy. The common riders that most term insurance companies offer include

• Critical Illness Rider
• Accidental Death Benefit Rider
• Accidental Total or Permanent Disability Rider, and
• Waiver of Premium Rider
• Insurer's Solvency Ratio

Another factor to consider while opting for the top term life insurance companies is the solvency ratio of an insurance provider. By solvency ratio it means the insurer's financial status. It is likely that insurance companies should have greater assets as compared to liabilities. Thus, the policyholder can be sure that the insurer has enough funds to settle any urgent claims if required.