What is an adjustable life insurance plan? Can this be done for a term plan?
—Gautam Chopra
An adjustable life insurance gives the option of changing the plan’s specifications during the term of a plan. Changes can be made to the sum assured, premium amount and policy’s premium-paying period. Such changes can be done in several unit-linked insurance plans (Ulips). A term plan does not offer such flexibility. As an alternative, you could explore term plans that have increasing or decreasing sum assured; or buy term plans of smaller denomination with varying policy periods. Traditional insurance plans are the least adjustable, so you must be very sure of what you want before making a purchase.
Are there any tax benefits of making a lump sum investment versus a top-up investment ?
