Quick Notes: Bharti AXA Life eProtect Online Term Plan

by Vinaya HS on July 18, 2012

in Finance

Thanks for visiting Capital Advisor. I frequently update this blog to cover various topics on personal finance such as investment strategies, financial products that you should buy and ones that you really should stay away from, financial calculators, emerging themes such as early retirement and financial independence, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

So finally, I am coming around to reviewing online term life insurance plans. I’ve lost track of how many requests I have received through Capital Advisor over the past few months asking for my thoughts and perspectives on purchasing term life insurance plans online. I’ve also been meaning to buy one for myself from quite some time now, but you know the whole ere-thing has me totally consumed reading up on strategies and ways and means.

I thought I’d keep my reviews a bit different by simply jotting down quick notes on whatever plans I happen to review. Each quick note will compare an online term plan against the one from the previous quick note and then pick my choice from the two. That way I hope to emerge with the one online term plan that looks like the best bet.

I’d be delighted if you could participate in this process by offering your own thoughts, perspectives, and experiences as well as suggesting other online term plans that you’d like reviewed in subsequent quick notes.

So here’s the first one inspired by an email ad that I received for the Bharti AXA Life eProtect online term plan.

Quick Notes on Bharti AXA Life eProtect

  • Maximum age at maturity is 60. But the maximum policy term is only 30 years. So, if you’re some bits below 30, you will be left uncovered (!) for a few years before you retire (taking the traditional retirement approach and when you’d typically not need life insurance anymore due to your retirement corpus kicking in).

  • I like the Family Care Benefit clause that promises an initial payout of Rs 1 lac within 2-business days of claim submission. Immediate cash is always useful in such situations.

  • I also like the simple and no-frills approach of this plan. For a 30-30-1 plan (30-year old buying a 30-year plan for Rs 1 crore cover), the indicated premium is Rs 7,300 excluding service tax.

  • I’m also comfortable with the Bharti AXA brand but this is extremely subjective and also subject to bias. You might have experienced otherwise. But when in doubt, simply go by your gut feel and you will do fine. I’ll also stick my limb out and say that all those arguments about claim ratios and payouts shouldn’t bother you if you’re honest when filling up the forms. Plus with IRDA cleaning-up it’s own act and that of the industry, things would only get better.

That takes us off to a good start.


I’d be delighted if you could participate in this process by offering your own thoughts, perspectives, and experiences as well as suggesting other online term plans that you’d like reviewed in subsequent quick notes.

I’ll pick the next one based on your comments.

Note: To help you to keep up with new term plan reviews, to go back and refer to past reviews, and to share all of this content with your friends, I’ve created the following easy to remember link — http://bit.ly/termplans. So, go ahead, bookmark and share.

Thanks for reading this article. I'd love to hear your opinion. Please use the comments section below to share your thoughts. I frequently write new articles that also cover several other aspects of personal finance including credit cards, financial goals, health insurance, income tax, life insurance, mutual funds, retirement planning, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

{ 24 comments… read them below or add one }

Rakesh July 18, 2012 at 10:07 PM


Good review, hmm family health care benefit, interesting, heard it for the first time.
I have an online term plan from Aviva, actually was waiting for a long time for LIC’s term plan but that did not happen. Aviva was cheaper then and their claim ratio was also good. But if LIC comes with its term plan then i would not hesitate to switch over.

Murali July 19, 2012 at 9:55 AM

I think CSR- Claim Settlement Ratio is something that we have to look at when buying any insurance. CSR of all insurance players can be found in annual reports that can be downloaded from IRDA website: http://www.irda.gov.in/ADMINCMS/cms/frmGeneral_NoYearList.aspx?DF=AR&mid=11.1
Generally, any CSR above 80% is considered to be good – as a thumb rule. Even i was looking for a online term plan recently and dropped Aegon Religare iTerm for having low CSR (Aegon religare has 52% CSR) eventhough AR offers 40 years term and some nice riders.
Finally I have zeroed on HDFC Click2Protect (CSR of around 95%), and initiated the process. HDFC Click2Protect premium is around 40% more than that of Bharti AXA Life eProtect, but I thought that may be OK if that eases and provides a better guarantee of claims. They are asking for multiple documents in installments, which is not complete yet (even after 4 days after premium payment). medical etc are yet to be done, I’m not sure how its taken forward.

Vinaya HS July 19, 2012 at 9:55 AM

@Rakesh –

Well, it’s not a health care benefit per se.

What this plan promises is to pay to the nominee a sum of Rs 1 lac immediately after the policy holder’s death (within a 2-business day window after receiving the necessary documents from the nominee). I thought this immediate cash could prove useful to your family in such situations.

The rest of the payout would then happen in due process.

Vinaya HS July 19, 2012 at 9:57 AM

@Rakesh –

Also, what’s the name of the online term plan that you have purchased from Aegon Religare?

Murali July 19, 2012 at 9:58 AM

And, I see that Bharti AXA also has a good CSR (around 87%). So, it looks like a good choice if one is comfortable with Bharti AXA brand name.

Vinaya HS July 19, 2012 at 10:00 AM

@Murali –

Thanks for sharing your personal experience.

One of the readers had emailed me about buying an online term plan from HDFC. Your buying experience would be really really helpful in this context.

Could you please continue to update us on the progress of your policy purchase?

Srinivas July 19, 2012 at 12:07 PM

True. CSR represents a measure of how many claims are settled. However, that may not show the full picture like statistical average.

There is lot of material on net, with various factors that affect CSR.

That is not the only aspect to be considered, though may be important. All policies are governed by IRDA and negation of settlement happens only if company can prove worngdoing on the client’s side. As long as the documents provided are in order, one can take that the claim settlement will be done.

Another related aspect is the education of the survivours. If possible, the policies can be explained to the spouse or aduclt children which help them follow up with the indurance company to get settlement in case of any eventuality.

Vinaya HS July 19, 2012 at 2:42 PM

@Srinivas –

Interesting point. I’m not sure how many of us do that today — explaining the policy to your nominee/survivors. This simple step can certainly help later with the settlement process.

Rakesh July 19, 2012 at 9:13 PM


I purchased the online term plan from Aviva, its know as Aviva i Life.

Ashok July 23, 2012 at 3:11 PM

Hi Vinaya,

I don’t agree with CSR as a metric for choosing the online term plan. If that is the case no company which is in its initial years can sell their term insurance product as the no of claimants would be very less. Hence considering other parameters and low premium, I had opted for Aegon religare iTerm policy. Am I right in my approach?


BSK July 24, 2012 at 1:28 AM

Have a basic dumb question – In a simple term policy, what kind of death is covered – natural, accidental, murder, suicide, illness –anything I left out??

Vinaya HS July 24, 2012 at 3:31 PM

@Ashok –

Wait for the next review coming up tomorrow. You will be pleased after reading it. :-)

@BSK –

That actually varies by policy. The most common omission is suicide. After that comes terrorism. Natural, accidental, and illness are always covered. But an excellent point and I’ll try and incorporate this angle as well in future reviews.

BSK July 25, 2012 at 9:58 AM

@Vinaya HS

The problem with definition of death gets confusing – If accident is always covered ..aren’t death by terrorism and murder not accidental? Basically “unexpected death” ..is this a valid category?

Vinaya HS July 26, 2012 at 8:24 AM

@BSK –

Unless the “Exclusions” clauses in the Terms & Conditions specifically say something (say, committing suicide within a year of taking the policy), I believe everything else gets covered.

Sandeep July 27, 2012 at 1:13 PM

Hi Vinaya,
Nice review. Have you reviewed Aviva’s i-life? I am thinking to buy it. Your review/advice would be valuable..

Vinaya HS July 27, 2012 at 5:34 PM

@Sandeep –

Yet to review. Will put it in the queue.

Murali August 1, 2012 at 11:13 AM

I have received my HDFC Click2Protect policy yesterday. I found the purchasing process to be pretty smooth (in contrast to what I read in multiple reviews over internet). Whole process took around 13 days. It might have been faster if i had appeared for medical test immediately after their intimation ( i delayed by 2 days to take the medical test over the weekend).

Policy cover starts from a date when they have received medical test reports and accepted it, not from the date when i had made payments.

however, they have not issued a policy to a colleague of mine (who is of 30 yrs age). He also applied for same policy along with me. They have told him that certain enzyme levels are high in him as per medical report. He also has been told that he can approach them after 6 months and they will issue a policy. As of now, they have told that they are going to refund the first premium that he has paid, which he is waiting to get in his account.

Murali August 1, 2012 at 11:14 AM

exclusions may vary from insurance company to company. However, most of the term insurances cover suicide after 1 year of policy issue. and, most of them cover terrorist attacks too.

Vinaya H S August 1, 2012 at 2:43 PM

@Murali –

Thanks for your update. I’m sure it’d help quite a number of readers.

It’s good to know that the policy cover starts from the date when the medical test reports are received and accepted and not from the date when you make the premium payment.

By the way, do you get a copy of the medical report as well?

Murali August 2, 2012 at 10:05 AM


a copy of medical report given by doctor (general checkup report containing my declaration on health status of parents, treatment history etc) is scanned and incorporated into my policy document. however, the reports of medical tests (ECG, blood, urine tests etc) are not included in it.

Vinaya HS August 2, 2012 at 11:55 AM

@Murali –

Thanks for the update.

It’s quite silly on the life insurance company’s part that you’re not made aware of your own health report. Could be something that the IRDA needs to poke their nose into. I’ll check if there is some way to provide this as feedback.

Murali August 4, 2012 at 9:42 PM

@ Vinaya
Yes, even i feel its logical to expect insurance provider to provide health report to customers. But, I have not asked for it. And, this health checkup is done at insurance company’s expense- may be thats why they dont provide it..

SK August 17, 2012 at 12:42 PM

Nice review though I am more positive on Aviva i-life

praveen August 19, 2013 at 1:51 PM

i purchased axa’s E-protect policy from policy bazaar.com,The whole process is smooth and the executive(MURUGANANTHAM) are really helpfull in clearing your doubts…. you can check the ratio of claim settlement (annual settlement ratio)http://www.irda.gov.in/ADMINCMS/cms/frmGeneral_NoYearList.aspx?DF=AR&mid=11.1…..i can say, the company gives a spl benefit in annual preminm for non smokers….. i hope in future also the company ll remain their standard in claim settlement

Previous post:

Next post: