Life insurance is likely to become cheaper coming new financial year as insurers will go with the new table on mortality that provides for the tariffs charged to cover lives. When the reference rates would be reset, there will be a reduction in the premium pay-out for term insurance for those in the age group between 22-50 years.
In some of the countries, the mortality rate is revised on an yearly basis but in India it is implemented every 5-6 years. As per the revised Indian Assured Lives Mortality table 2012-14 that have been published by the Institute of Actuaries of India fell 4-16% for those in the age group 22-50 years.
The mortality table provides for deaths per thousand assured lives. However it is to be noticed that for higher aged i.e between 82-105 years, mortality rates witnessed an increase of 3-21%.