Life cover & benefits
How does term insurance work?
You choose a sum assured and a term, and pay a premium, usually fixed for the whole term. If you die during the term, your nominee receives the sum assured. If you survive the term, nothing is paid. Because there is no savings element, term insurance gives the most life cover for the premium.
In short
- Choose a sum assured and a term.
- Pay a premium, usually fixed for the term.
- On death within the term, the nominee is paid.
- On survival, nothing is paid.
How is the premium decided?
By your age, health, habits such as smoking, the sum assured and the term. The insurer may ask for medical tests. Declare everything; an undeclared condition is the strongest ground to reject a claim.
What happens at the end of the term?
The cover ends, and nothing is paid. That is the trade-off for low premiums. Plans that return premiums at the end exist, but cost more for the same cover.
Is company group term life the same thing?
It works the same way, but it belongs to the job. It ends when you leave, and the sum is set by your employer. Our page on group term life vs personal term explains why most people keep both.
Frequently asked questions
How does term insurance work?
You pay a premium for a chosen term; if you die within it, the nominee receives the sum assured. Nothing is paid on survival.
Do I get money back in term insurance?
Not in a regular term plan. Return-of-premium plans exist but cost more.
Is term insurance worth it?
For pure protection, it gives the most cover for the premium.
What happens when you talk to us
A 20-minute video call with a Growth Advisor. No obligation, and no quote pushed. It opens with a five-minute video from our founder on how the benefits stack works and why Ethika exists; the rest is your questions. You’ll leave with an honest read on your current cover and claims experience, and a straight answer on whether we can genuinely help, even if you never become a client.
20 minutes with a Growth Advisor. No obligation.
A note on this page. Everything here is general information, not insurance, legal, financial or tax advice, and nothing is an offer. No insurer or product is named or recommended. What any policy covers depends on its own wording and schedule. For advice about your situation, talk to us.