Documents required for term insurance
Plans for term insurance are inexpensive and simple to purchase. When you apply for term life insurance, the insurance provider requests some personal information and supporting documentation. The statement of your income is one such element.
Before approving your insurance application, insurance companies request proof of income. However, there is a lot of misunderstanding in this area.
Can you buy a term insurance policy without supplying proof of income?
No, you cannot buy a term insurance policy without proving your income. It is crucial since it aids the insurance provider in determining the amount assured and the risk associated with insuring the applicant.
What income documents do you need to submit for a term insurance plan?
You need to submit the correct documents, as getting term insurance without income proof is not possible. The following documents required for term insurance :
1. Salary slips for the last three months
2. Latest Income tax returns of the previous two years
3. Income certificate by your employer
4. Form 16
5. Bank statement for the previous six months
The insurance companies require income proof of the applicant for financial underwriting.
Since the applicant's income is one of the main factors used by the company to determine whether to offer the insurance or not, it is impossible to obtain term insurance plans without income proof. Because of this, before you apply for term insurance, you must be ready with proof of income.
