I have a company life cover of Rs.65 lakh, which will increase as I gain seniority in the organisation. I recently got married. Do I need to buy a term cover? —Rahul Khatri
You should always own your own personal term insurance, independent of the company where you work. This ensures that if you change companies or if the company withdraws this benefit, you are still insured. The amount of insurance should be at least 10 times your income. If that condition is met in your case, then the sum assured is adequate.
The other considerations in determining sum assured are that the death benefit should pay off all your loans and cater to the major milestones of your dependants. Buy term insurance now because as you grow older, prices increase and there is a greater likelihood of insurance cover being denied.
