Here are the top five reasons why women need term life insurance in 2025.

The traditional idea of the male breadwinner led to a narrow view of financial protection that underestimated a woman’s contribution to a household. This is why life insurance was viewed as a product catering primarily to the male consumer segment. However, this couldn’t be farther from the truth. Apart from financial contributions, women make non-tangible contributions, such as household responsibilities and childcare.

The economic value of their contribution to the household is equivalent to the cost of numerous essential services and, therefore, it is equally important for them to secure the future of their dependents with insurance.

Here are the top five reasons why women need term life insurance in 2025.

1. To leave a legacy for their dependents: Women must opt for term life insurance, which is the purest form of life insurance. “The top reason for buying term life insurance is financially protecting your family members in case of your untimely death. Several plans with a high sum insured at reasonable premiums are available to women. If anything unfortunate happens, your loved ones can have the life you have envisioned for them, even in your absence,” says Sameep Singh.

2. To achieve financial independence: Several life insurance plans offer more than just a life cover. There are savings plans that offer guaranteed return on payment with a specific duration, while there are also unit linked insurance plans available that provide market-lined returns at the time of maturity. By getting optimum returns on these plans, women can attain financial independence.

3. To attain personal goals: You may have your own personal goals – whether it’s buying a new home or saving for your child’s education. Investing in the right life insurance instrument can reap you benefits in the long run. Child savings plans combine investment for your child’s future and life insurance, serving both the purposes efficiently.

4. Retirement planning: With changing family structures, retirement planning is equally important for both men and women right from an early stage. “This is easier to do with new-age products like ULIP pension plans that allow up to 60% withdrawal of the corpus tax-free upon maturity. They become cost-efficient with elimination of charges like premium allocation and policy administration. They also provide a regular stream of income to support life after retirement,” informs Singh.

5. Health emergencies: Term insurance plans include valuable riders, such as the Critical Illness Benefit Rider. This rider gives you a lump-sum pay out (which is determined while buying this rider) immediately upon diagnosis of any critical illness (which have been listed by the insurance company). Once the benefit for the rider has been paid out, the life cover excluding the critical illness cover continues with lower premium.

These points make a clear case for women to invest in life insurance plans. Irrespective of what life stage you are in or professional path you take, financial security is a must for all women. As it is often said, insurance is not only a part of financial planning but the very foundation of financial planning.