Can I Buy Multiple Term Insurance?

Yes, you can. In India, buying more than one term insurance policy is allowed, and for many people, it is a smart move.

For example, Rohan is 30 and started his career a few years ago. He purchased his first term plan for ₹50 lakh to take care of his parents. A few years later, he got married and took out a home loan. He now realised that ₹50 lakh was not enough coverage. Instead of cancelling the old plan, he bought another term plan for ₹1 crore.

Now he has two term insurance plans that work together. One term plan covers his parents, and the other term plan takes care of his wife and home loan. So, you can buy multiple term insurance policies with one or more insurers, as long as the combined cover matches your income and eligibility.

Contents

• Benefits of Multiple Term Insurance Policies
  • 1. You Can Match Cover with Life Changes
  • 2. You Get Options from Different Insurers
  • 3. It Makes Claiming Easier for Your Family
  • 4. You Keep Some Cover if One Policy Ends
  • 5. You Still Get Tax Benefits
• Can I buy multiple ₹1 crore term plans from different insurers at the same time?
• Conclusion
• Frequently Asked Questions

Benefits of Multiple Term Insurance Policies

Purchasing more than one term plan offers flexibility and enhanced coverage at various life stages. Some of the benefits include:

1. You Can Match Cover with Life Changes

As a young adult, you have very limited financial responsibility; therefore, a basic term plan will often work. However, as life progresses, you might get married, take a home loan, or have children. Instead of replacing your old policy, you can simply add another term plan that suits your current life stage.

2. You Get Options from Different Insurers

Every insurer designs its term plans differently.  One plan might offer useful add-ons, such as critical illness cover, while another might give your family the option to receive the payout as a steady monthly income instead of a lump sum. By having more than one term plan, you can combine these benefits to create protection that suits your family’s needs.

3. It Makes Claiming Easier for Your Family

Having multiple term insurance plans ensures that your loved ones aren’t dependent on just one claim. It spreads the financial support, reducing stress during a tough time.

4. You Keep Some Cover if One Policy Ends

If you ever decide to discontinue one policy, your family won’t be left unprotected because you still have another plan in place.

5. You Still Get Tax Benefits

Having more than one term plan doesn’t change your tax advantages. The premiums you pay for multiple term policies are still eligible for tax deductions under Section 80C, within the overall limit. And the payout your family receives is exempt from tax under Section 10(10D).

Can I buy multiple ₹1 crore term plans from different insurers at the same time?

Yes, you can. There’s no legal restriction on holding multiple ₹1 crore term insurance policies, whether from the same insurer or different ones. However, when applying for a new policy, you must declare all your existing life insurance policies to the new insurer.

When buying multiple ₹1 crore term plans, keep a few things in mind:

• The total sum assured across all your policies should match your income and financial lifestyle.

• You can use your Human Life Value (HLV) to decide how much life cover you actually need. It’s usually recommended to have coverage of around 15-20 times your annual income.

• It is wise to avoid overinsuring yourself. Taking more cover than you actually need can increase your premiums.

Conclusion

In India, it is permitted to purchase multiple term plans, which many individuals do as their lives change and demands arise. You can even buy two ₹1 crore term plans today if that fits your goals. The key is to maintain transparency, affordability, and purposefulness.

Frequently Asked Questions

Below are some of the frequently asked questions on Can I Buy Multiple Term Insurance?

Why do people buy more than one term plan?

People often buy more than one term plan as their life and responsibilities grow. A single policy that once felt enough may fall short after marriage, a home loan, or children. Adding another plan helps keep their family’s protection in step with changing needs.

Can I buy multiple ₹1 crore term plans from different insurers?

Yes, you can buy multiple ₹1 crore term insurance plans from different companies, and it’s completely legal.  But when you apply for a new policy, you must inform every insurer about your existing policies.

Will having multiple term plans make claims difficult?

No, not if you’ve been open with all insurers. Your nominee can claim from each plan separately if all documents are in place.

How much total cover should I have?

A simple rule is to have life cover worth about 15-20 times your yearly income. You can split this across one or more term insurance plans. 

Explore Life Insurance Product

Term Insurance

Acko Life Flexi Term Plan

Will Creation Service

Buy Life Insurance Online

Life Insurance Estate Planning

Family Life Insurance

Life Insurance Riders

Recent

Articles

Online vs Offline Term Insurance in India: Can You Buy a Term Plan Without an Agent?

Neviya Laishram Dec 15, 2025

How to File an Individual Health Insurance Claim (Cashless and Reimbursement)

Roocha Kanade Dec 15, 2025

Tax Benefits of Individual Health Insurance Under Section 80D

Roocha Kanade Dec 15, 2025

Eligibility Criteria for Individual Health Insurance in India

Roocha Kanade Dec 15, 2025

Individual Health Insurance Cost: Premium Factors and Ways to Save

Roocha Kanade Dec 15, 2025

All Articles

Topics

Individual Health Insurance

Individual Health Insurance

Individual Health Insurance

Individual Health Insurance

Individual Health Insurance

All Topics

Want to post any comments?