New Delhi, April 30 -- A term insurance plan provides life cover for a fixed period, paying out to the nominee if the policyholder dies during the policy term. Such a plan's coverage is defined by the sum assured, the tenure and policy conditions set by the insurer.

Some of the key features of a term insurance plan, such as premium payments, exclusions, claim settlement terms, and policy duration, are specified at the time of purchase. Insurers include these details in policy documents, which determine eligibility, coverage limits and the circumstances under which the nominee can process claims.

Here's a detailed breakdown of factors to consider when purchasing a plan, how to decide on the right sum assured, some common reasons for reje...