61% mothers prioritise child’s financial stability, 46% pick term insurance as first choice: Bajaj Allianz Life Survey

Indian women are increasingly relying on term insurance as their preferred financial solution to secure their child’s future, reveals the Bajaj Allianz Life Women Term Survey 2025. The nationwide study, conducted in collaboration with Pixis Global and Quals.AI, covered over 1,000 salaried and self-employed women across metro, Tier 1, and Tier 2 cities. It uncovers strong shifts in how women perceive financial preparedness, particularly around their children’s education, health-related expenses, and long-term family wellbeing.

The survey highlights that children’s financial future now tops the priority list for most women. Around 61% of mothers said ensuring their child’s financial stability in case of unforeseen life events is their primary concern, while 57% ranked education funding as a key goal. Other financial priorities included income continuity (61%), health expenses (53%), and retirement planning (54%).

Against this backdrop, term insurance has emerged as the most preferred financial product among women. A significant 46% of respondents chose term insurance as their go-to solution to protect their child’s future, ahead of traditional savings instruments. This shift suggests that women now see insurance not just as a contingency plan but as a multi-faceted tool for long-term financial planning.

Health concerns also play a big role in product preference. 53% of women expressed worry about medical costs affecting family savings, while a striking 87% found critical illness coverage to be a highly desirable feature in their term plans. Additionally, 57% of respondents preferred term plans that include built-in health and critical illness (CI) coverage, indicating a demand for bundled benefits.

The importance of Child Income Protection was also underlined in the report, with 93% of mothers saying they found this feature highly appealing. This reflects a strong desire for income continuity for dependents, especially in the absence of the primary breadwinner.

Women also seek more customisation and flexibility in their insurance products. The survey found that 51% wanted the option to increase coverage as life events such as childbirth or home purchase occur. Another 33% said child education benefits should be essential to a term plan, while 28% favoured high life cover options.

However, the survey also points out a few gaps in current offerings. Respondents cited a lack of flexibility, absence of maturity benefits, and complicated claim processes as major pain points. Affordable premiums and add-ons such as health and CI riders were among the most desired features.

Tarun Chugh, MD & CEO of Bajaj Allianz Life Insurance, said, “The findings from this survey show that women are financially focused and purposeful in their insurance decisions. They see term insurance as more than just life cover—it’s a financial blueprint for securing their family’s future. This insight will help us innovate further to support their evolving needs.”

The survey findings underscore a rising trend of financial independence and strategic planning among Indian women, who are now actively shaping not just their future but that of their families. As term insurance evolves to include features tailored to women’s expectations, insurers have a growing responsibility to offer inclusive and value-packed solutions.

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