Self-employed term insurance purchases jump 58% in FY25, women buyers also rise: Policybazaar

Term insurance purchases by self-employed individuals surged 58% in FY25, according to Policybazaar. The segment is witnessing growing demand, particularly among younger demographics and women, driven by tax benefits and simplified underwriting. Index Fund Corner Sponsored Scheme Name 1-Year Return Invest Now Fund Category Expense Ratio Axis Nifty 50 Index Fund +32.

80% Invest Now Equity: Large Cap 0.12% Axis Nifty 100 Index Fund +38.59% Invest Now Equity: Large Cap 0.



21% Axis Nifty Next 50 Index Fund +71.83% Invest Now Equity: Large Cap 0.25% Axis Nifty 500 Index Fund -- Invest Now Equity: Flexi Cap 0.

10% Axis Nifty Midcap 50 Index Fund +46.03% Invest Now Equity: Mid Cap 0.28% Policybazaar reported that 88% of these buyers are Millennials and Gen Z.

These individuals view term insurance as a key financial tool as they progress through major life milestones. The data also shows a steady rise in women term insurance buyers, growing from 9% in FY20 to 15% in FY25. Policybazaar attributed this growth to increasing financial independence among women and the rise of women-led start-ups, especially in metro cities.

Most self-employed buyers opt for coverage between ₹50 lakh and ₹1 crore, with a rising trend in policies offering ₹1 crore or more. Monthly premium payments remain popular in this segment. Metro cities such as Delhi, Bengaluru, and Mumbai continue to lead in term insurance demand among self-employed individuals.

At the same time, Pune, Hyderabad, and Chennai are emerging growth centers, supported by rising entrepreneurship and self-practicing professionals. Policybazaar also noted that the most sought-after policy add-ons include Accidental Death Benefit and Waiver of Premium, offering additional financial protection. Buyers also show interest in securing their policies under the Married Women’s Property Act (MWPA) for enhanced family protection.

Varun Agarwal, Head of Term Insurance at Policybazaar.com, said, “This growth is driven by customised term plans that eliminate the need for traditional income documentation, such as ITR or salary slips. Insurers now evaluate financial stability using digital metrics like creditworthiness, loan history, and surrogate proofs like vehicle IDV.

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