Tailored benefits: Insurance that understands her needs

Only Bajaj Allianz Superwoman Term and Tata AIA Shubh Shakti offer women-specific plans

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Term insurance provides the highest life cover at the lowest cost. However, penetration remains low, as many expect a maturity benefit. Eligibility is strict—applicants need a steady income and good health.

To broaden term insurance appeal, companies first included homemakers, previously excluded for lack of income. Insurers are now experimenting with women-specific term plans. Only two products exist currently—Bajaj Allianz Life Superwoman Term and Tata AIA Shubh Shakti.

“We haveseenasharprise in women buying term insurance. Today, one in five customers on our platform is a woman, from one in 10 five yearsago. It is driven by awareness and financial independence,” said Varun Agarwal, head of term insurance at Policybazaar.

Women typically enjoy 5-10% lower premiums, but only a few are aware of this benefit. “They get an upfront discount because their mortality risk is lower than men’s. For instance, a 25-year-old woman pays the same premium as a 22-23-year-old man,” said Maneesh Mishra, chief product and marketing officer, Bandhan Life.

Women-specific term plans too come with this discount. The discount is automatic when you buy it as per yourage and gender, without needing to be requested. “Some companies offera three-yearsetback in age, others two. For us, itis three,” Mishra added.

Why do we even need women-specificterm plans when the premiumsare comparable to regular term plans? Before we evaluate whether they're worthwhile, let's first take a look at what they actually offer.

Bajaj Allianz Life Superwoman