A 2 crore term insurance plan is one of the smartest ways to protect your family’s future. If something happens to you, this plan ensures your loved ones receive ₹2 crore to take care of their expenses, pay off any loans, and maintain their lifestyle. With rising costs, ₹1 crore may not be enough in today’s world. That’s why many people are now choosing 2 crore life insurance policies. In this article, we’ll explain what a 2 crore term plan is, how it works, who should buy it, and how to find the best term insurance plan for 2 crore in India.
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A 2 crore term insurance is a type of life insurance policy where your nominee will receive ₹2 crore if something happens to you during the policy period. It is a pure term insurance plan, which means:
If you’re the main earning member in your family, your sudden absence can cause major financial hardship. A 2 crore life insurance policy gives your loved ones the money they need to cover daily expenses, children’s education, loans, and future dreams.
It’s quite simple:
The good part? A 2 crore term insurance premium is affordable when you buy it at a young age, especially in your 20s or early 30s.
Choosing a term insurance plan for 2 crore isn’t just about a large life insurance coverage. Here are all the key reasons why it makes sense:
Even with high coverage, 2 crore term insurance premiums are affordable. Starting early gives you lower rates and maximum benefits.
In a time where prices keep rising every year, what seems like a big amount today may not be enough 10 or 20 years later. A ₹2 cr term insurance payout will help your family manage rising education, healthcare, and lifestyle costs.
Want your child to study abroad or have a dream wedding? A 2 crore life insurance plan ensures your children’s goals are not compromised, even in your absence.
You get deductions on premiums under Section 80C, and the death benefit is tax-free under Section 10(10D).
Knowing your family will receive a 2 crore life insurance payout if something happens to you is a huge emotional relief. It gives you peace of mind that they will be safe and financially independent.
Many pure term insurance plans now come with add-on riders like terminal illness, critical illness, etc.
You may have a health insurance term plan, but that won’t protect your family financially if you pass away. A 2 crore term insurance complements health insurance by providing death benefits.
Term insurance plans are the simplest types of life insurance. You can easily compare, calculate premiums using a 2 crore term plan calculator, and buy policies from trusted insurers whenever you are ready.
If you’re an NRI, buying a 2 crore life insurance policy in India is an excellent way to ensure your family is financially protected.
A 2 crore term insurance plan is for anyone whose absence would create a serious financial void in the family. Here’s a detailed look at who should strongly consider a term plan of ₹2 crore:
If you're in your 20s or early 30s and just starting your career, this is the best time to buy a 2 crore term plan. You’ll get the lowest premium rates, and as your responsibilities grow (like marriage or kids), the high coverage will act as a solid financial shield.
If you’re the only earning member in the family, your absence can disrupt everything—bills, schooling, EMIs, day-to-day expenses. A 2 crore life insurance plan provides a financial cushion that ensures your loved ones don’t have to compromise their lifestyle or future plans.
Have a huge home loan, business loan, or education loan? In case you won't be around tomorrow, the responsibility falls on your family. A 2 cr life insurance policy can settle debts right away, so your house remains with your family and not the bank.
Example: A ₹75 lakh home loan + ₹25 lakh car loan + ₹20 lakh personal loan = ₹1.2 crore liability. A ₹2 crore term cover ensures complete peace of mind.
Having a business? Then you understand that your family and business finances go hand-in-hand. In the event something were to happen to you, your family could be left to deal with personal bills and business expenses such as vendor balances, employee salaries, or a loan. A 2 crore term insurance can help safeguard both your business legacy and your family.
Every parent dreams of giving their child the best education, exposure, and marriage without financial stress. A 2 crore term plan helps secure that future, even if you aren’t around. The payout can be invested to build long-term wealth for your child’s dreams, such as college, MBA, international studies, or even a startup.
Doctors, IT engineers, CAS, startup employees, and mid-management people living in cities like Bangalore, Mumbai, Delhi, or Hyderabad have lifestyles that demand higher protection.
If you support not just your nuclear family but also your siblings or aging parents, your sudden absence can shake multiple households. A term insurance plan of ₹2 crore gives broader support for an extended family structure.
At times, you might only want to leave behind a respectable amount for your family members even though they do not entirely depend on your salary. A term plan of 2 crores can serve as a financial inheritance, particularly to your children or spouse.
Here’s a breakdown of the key benefits of a 2 crore life insurance policy:
One of the most significant advantages of a term plan for 2 crore is that you can secure a large life cover at a surprisingly low premium. Since term insurance is a pure protection plan (no investment component), the premiums are budget-friendly, especially if you buy early.
With most 2 crore term insurance plans, you can choose a policy duration that matches your life goals.
For Example: You can choose 10 - 15 years if you're nearing retirement or have short-term liabilities and 30- 40 years if you're in your 20s or 30s and want to cover income loss for decades. This flexibility ensures that your family is protected exactly for the years they need support.
You don’t need to stretch your budget to afford a 2 crore plan. When it comes to premium payment, you have multiple options:
Your 2 crore life insurance can be made even more powerful with riders. In simple terms, these riders customise your term plan to offer more than just life cover. Some popular riders include the Critical Illness Rider, the Accidental Death Benefit Rider, and the Disability Income Rider.
Some term insurance for 2 crore plans offer conversion options. This means you can switch your term plan to a whole life policy and more. It gives you flexibility as your insurance needs evolve.
A 2 crore life insurance policy comes with multiple tax-saving opportunities under the Income Tax Act. You get tax advantages under Section 80C and Section 10(10D).
With a 2 crore term insurance in place, you don’t have to worry constantly about what happens to your loved ones if you're not around, especially if you’re a sole provider.
Here’s what you should carefully evaluate before buying the best term insurance plan for 2 crore in India:
The claim settlement ratio (CSR) tells you how many claims an insurer has approved out of the total received. A ratio of 95% or higher is considered good.
Pick a policy term that matches your financial responsibilities. Example: If your home loan ends at 60 and your children become financially independent by then, you don’t need coverage beyond that.
Choose riders, such as Critical illness cover, Accidental death benefit, Waiver of premium, and more based on your family’s needs and lifestyle risks.
See how you can pay premiums: Monthly, Quarterly, Half-yearly, Yearly. Always opt for a convenient payment mode with your budget and income stream.
You can buy your policy online, track policy details and renewal dates and file and manage claims easily.
Good customer support is a must, particularly when your family has to make a claim. Seek 24/7 helplines, email/chat support and simple documentation process.
It is always recommended to select a provider that is stable, financially sound, and regulated by IRDAI. Known brands provide more trust and experience, particularly during payouts.
Selecting the ideal term insurance policy for 2 crore need not be a daunting task if you are aware of what to search for. It becomes stress-free and easy if you do so. This comprehensive guide helps you pick the right policy for your budget and goals.
Before buying any policy, start by comparing premiums using a 2 cr term insurance premium calculator. This tool helps you:
Keep in mind that the best 2 crore term insurance plan in India is not merely about cheap premiums. It's also about trust. Always look at the Claim Settlement Ratio (CSR) and Customer reviews.
Each person has distinct needs, and hence the term plan 2 crore you choose must be dynamic. Check out the flexibility to increase and decrease in sum assured and policy duration. This enables you to personalise your cover depending on life events.
In today’s digital world, buying a 2 crore term insurance plan should be fast, simple, and paperless. Look for 100% digital application, User-friendly dashboard, and digital customer support.
Most term insurance for 2 crore policies offer optional features that give you added peace of mind. Add riders based on your requirements.
Before you lock in your ₹2 crore term plan, make sure you know what it doesn’t cover. For example, most policies usually don't pay the death benefit for suicide that occurs within the first year of the policy, risky hobbies like skydiving (unless disclosed), or deaths linked to alcohol, drugs, or illegal activity.
Looking for a simple, digital-first option? ACKO Life offers a unique term plan - the ACKO Life Flexi Term plan for 2 crore.
| Feature | Details |
| Coverage | ₹2 Crore |
| Riders | Critical Illness, Accidental Death, and Disability Income |
| Claim Settlement Ratio | 98.4% (FY 2023-24) |
| Buying Process | 100% online, paperless |
| Support | 24/7 claims help |
After insuring crores of people with health and motor insurance, ACKO Life has launched a unique and modern term plan, the ACKO Life Flexi Term Plan. This ACKO term life insurance is highly flexible and a customer-centric solution for long-term financial protection. It is packed with useful features and promises to provide your loved ones with a financially stable future, with the amount of money you choose for them.
With unmatched flexibility for your unique needs, ACKO term insurance plan enables you to:
Learn everything about the ACKO Life Flexi Term Plan here.
ACKO Life offers three valuable rider options. Here’s a quick look at each one:
Accidental Death Benefit Rider, or ADB Rider, is an optional add-on that provides extra financial support in case of your unfortunate demise due to an accident. The nominee will receive an additional payout over and above the basic sum assured.
Learn more about its key features and benefits by clicking here.
A Disability Income Rider is an add-on benefit that you can add to your base life insurance policy. It provides a regular income payout to help you and your family manage expenses even when you’re unable to earn.
Learn more about its key features and benefits by clicking here.
A critical illness rider is an optional add-on that you can add to your policy. This rider gives a lump-sum payout if you’re diagnosed with a serious illness like cancer, heart attack, or stroke.
Here is the complete list of covered critical illnesses:
To know everything about its features and benefits, click here.
Not sure whether ₹2 crore is sufficient? Try this easy formula:
Example: ₹15 lakh income × 20 = ₹3 crore + ₹50 lakh loans + ₹50 lakh goals = ₹4 crore
In such a scenario, a 2 crore term insurance plan could be a good beginning, and coverage can be increased later.
If you’re asking yourself, “When is the right time to buy a 2 crore term insurance plan?”, then the answer is quite simple: the earlier, the better.
| Age Group | Suggested Cover | Reason |
| 25–30 | ₹1–2 crore | Low premium, early start |
| 31–40 | ₹2–3 crore | Family, loans, goals peak |
| 41–50 | ₹1.5–2 crore | Children nearing college |
| 51+ | Depends | Legacy, debt repayment |
You can calculate your premium using a 2 crore term plan calculator. It asks for:
You can calculate your premium using a 2 crore term plan calculator. It asks for:
Once entered, it gives you an estimated monthly or yearly premium. Use ACKO’s 2 crore life insurance policy premium calculator for quick results.
No, the ₹2 crore payout is tax-free according to Section 10(10D) of the Income Tax Act. Also, the premiums you pay are eligible for a deduction of up to ₹1.5 lakh under Section 80C.
A 2 crore term insurance plan provides large protection at an affordable price. If you are a young professional or a family man with large responsibilities, this cover amount is perfect to protect your loved ones. Utilise a 2 cr term insurance premium calculator, compare, and select the best term insurance plan for 2 crore in India.
Here are some common questions about 2 crore term insurance plans in India.
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Reviewed by Vaibhav Kumar Kaushik 
Acko Technology & Services Private Limited
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