Can NRI Buy Term Insurance in India?

Purchasing a term insurance for NRI is simple and convenient.

• An NRI can opt for any one of the two alternatives in order to buy term insurance. 
  
• The first option is to purchase the policy when he is on a visit to India wherein the process of purchase will be executed in the same manner as it is for an Indian citizen 
  
• The second option is to purchase the policy from the current country of residence 
  
• This can be done through a mail order wherein a detailed verification is required 
  
• The verification can be done by a notary and Indian Embassy officials 
  
• The terms and conditions in case of term life insurance for NRI are quite flexible 
  
• The sum assured varies from INR 2 lakh to INR 1 crore and the premium payable is based on the terms of the policy, age, frequency, and health conditions 
  
• The duration of the plan is also variable and ranges from anywhere between five years to 30 years 
  
• Any individual between the age of 18-65 can buy term insurance 
  
• One can make the premium payment online but the policyholder must be an account holder in the specified banks as per the policy of term plan 
  
• The payment can be made by remittance in a foreign country, through a Non-Resident Ordinary (NRO) bank account or via a Non-Resident External (NRE) bank account 
  
• It is important to note that the premium will be the same for ‘Resident Indians’ and NRIs if the risk involved is the same 
  
• There is no additional premium charged from an NRI for a term plan 
  
• The death benefit will be paid to the bank account that was mentioned while buying the term plan