2. Different Maturity Schemes

Different companies offer diverse insurance schemes that are suitable for the people. If you are planning to buy a 30 years policy be ready to face loss that will occur to you in the future.  Buying multiple insurance cover will help you at all stages of life, as your liabilities will change according to the situations in future.

For instance, it doesn’t make sense if you are taking a loan of 1 crore cover for 30 years, if you have to repay 20 lakhs in 10 years. It will be more sensible if you break the loan in to two, one with 20 lakh for 10 years and 80 lakh for 30 years.

"You may like to diversify term covers based on maturity-some policies maturing just after you stop working and some extending to the maximum possible tenure," said Lovaii Navlakhi, founder and CEO, International Money Matters.

Sunil Mishra, CEO, Karvy Private Wealth stated that "The life cover is not just a function of existing liabilities. It also accounts for significant liabilities one may incur in the near future. For those who prudently align insurance with life stages, having two-three plans of varying terms and covers is a good idea as this way one is at liberty to continue or discontinue policies on the basis of one's requirement".

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