What is Term Insurance?

Term insurance is a type of life insurance policy that provides financial coverage for a specific period of time. During the policy tenure, even if the life assured dies due to any unfortunate event, the beneficiary will be provided financial protection under this policy. For a specific ‘term’ or period of the year, the term insurance plan offers life insurance cover against the fixed premium that has been paid by the insured.

This term insurance plan not only makes you able to avail financial protection but also can offer you to fulfill your future needs such as your child’s marriage, his/her higher education, and so on.

Among all the life insurance policies, a term insurance plan provides the highest life coverage for the minimum paid premiums during the period of the policy. For example, Premium for Rs. 1 Crore Term Insurance cover can be availed as low as Rs. 411 per month. Even some insurance companies offer that the fixed premiums can be paid at once or at regular intervals for the entire policy term or for a limited period. Premium amount varies on the basis of the type of premium payment method opted by the buyer.

It has to be remembered that if the life insured survives the entire policy period, the coverage at the earlier rate of premiums is not guaranteed after the term insurance policy expires. The insurer has to either go for the extended coverage with the different payment conditions as per the availability with the insurer or forgo the coverage entirely.

Why Should You Buy a Term Plan?

You should always go for a term insurance plan not only to combat the financial uncertainties but also to provide protection to your family in absence of you as life can be unpredictable. There are multiple other reasons to opt for a term insurance plan and the major ones are as follows.

Key Features/Benefits of Term Insurance

A term insurance plan is an inseparable insurance policy in everyone’s life as it protects the insured and his family financially, even if after his unfortunate demise and it is specially designed to lower the financial risks in one’s life as well. Here are some major highlights or benefits of this policy.

Safety For Loans and Liabilities– After the unfortunate demise of the insured, his family often finds it difficult to pay off the debts or loans. This term insurance gives your dependents relief from financial liabilities such as loans or any other debts.

Protection Against Critical Illness – Along with the life cover, the term insurance plan also offers coverage for the critical illness. For this, you have to add a small add-on and you can avail yourself of a lump sum amount of payment when any critical illness occurs to you for the first time like kidney failure, cancer, heart attack, and some more. An online term insurance plan also offers financial protection to your family and dependents if you suffer any disability or critical illness.

Multiple payment options are available with the different insurers for this plan including the lump sum payment, lump-sum payment along with an annuity that might be monthly, quarterly or yearly, or simply annuity that is spread over the agreed number of years.

Survival and Maturity Benefit – The standard term insurance policy does not come with any survival and maturity benefit. Though due to the increasing demand for it, many insurers have come with a TROP (Term Return of Premium) plan that offers maturity and survival benefit. TROP plan returns the premium at the end of the policy tenure if the life assured survives the term period.

Easy To Buy – It is no longer a tedious job to find a proper term insurance plan according to one’s needs as it can be bought online after doing extensive research. It is always advisable to do thorough research before opting for any term policy that can serve all of your requirements.

Protection – This term policy protects you for a longer period. This remains valid for up to 70 years. With some insurance, it can be extended up to 85 to 100 years of age.

Riders Benefit – One can extend the term insurance plan by choosing for a rider or any other variants that are convenient for the insured, for example, the inclusion of the return of the premium

Types of Term Insurance Plans

There are different types of term insurance plans that are available with different insurance companies in India. The major types are as follows.

Associate Company

Individual Health Insurance

Health can earn us wealth and, in our life, always health comes first. So, we must always ensure that we are taking good care of ourselves in all situations. Due to pollution and the increasing population, the number of diseases has increased tremendously. Also, as you are busy and hardworking every day, you somehow ignore your health. Sometimes people even skip their meals, giving work their major priority. This could lead to a huge mental and financial burden as you could suffer from some diseases.

Due to inflation, medicinal costs have also increased drastically. So even if you go to any medical store to purchase a few medicines, it could cost you a lot. Similarly, the cost of medical procedures has also increased tremendously. So, it is always suggested to purchase Health Insurance Plans for Individuals.

Through this Individual Health Insurance, one can ensure that they are protected from the financial burden which can arise in case of some disease or some injuries. Health Plan companies care for all the medicines, pre and post-hospitalization expenses, surgery expenses, ambulance cost, etc. which has occurred during the policy term. It is always suggested to people as it is not always possible to afford quality treatment due to the high cost. An Individual Health Insurance covers all pre and post-hospitalization which has occurred around 30 to 60 days before 90 days of hospitalization. One can opt for a reimbursement facility in which the insured will pay initially and after submitting the documents, the amount will be reimbursed by the Individual Health Insurance Company.

Health Insurance Plans for individuals even provides cashless facility to insured provided the treatment is done in the network hospital. Apart from this all diagnostic tests and ambulance cost all refunded up to a certain limit. As per few conditions’ satisfaction, daycare facilities are also covered. However, for covering pre-existing diseases, there is a waiting period which could vary depending upon the Individual Health Plan you opt for. This could vary in years or months. After a waiting period, surgeries like cataracts or treatment of asthma, piles, etc. are also covered. There is some Individual Health Insurance that also covers maternity-related expenses.

Cover Your Medical Bills: Health Insurance Benefits

There are many benefits of Individual Health Insurance or Health Plan, a few of which is as mentioned below:

Eligibility Criteria for Individual Health Insurance

The eligible criteria for Health Insurance Plans for Individuals are as below:

Age: The acceptable entry for a policyholder for Health Insurance Plans for Individuals is a minimum of 18 years with a maximum age of 65 years (which could be 70 or above, depending upon the policy). Dependable children can get coverage is from 90 days to 18 years. The premium cost is proportional to the age, as the age increases; the premium cost also increases simultaneously.

No Claim Bonus: Individual Health Insurance policy offers a No Claim Bonus (or NCB) which is given by the health plan if you do not make a claim within a policy year. Here, you can avail 5 percent of the No Claim Bonus each claim-free policy year. On the other hand, if you make a claim, you won’t get a No Claim Bonus benefit. This is provided if along with you one more family member is covered in the case of Health Insurance Plans for Individuals.

Family Discount: This discount is offered if one of the other family members is covered along with you. This all depends upon the health plan.

Discount on cumulative premium payment: There are few health insurance companies that offer discounts for Health Insurance Plans for Individuals on the criteria that you pay the premium of 2 years together.

Discount Voucher: Depending upon the Individual Health Insurance Plan, a discount voucher is provided for purchasing medicines and for medical procedures, which would be in certain outlets.

What Individual Health Insurance Plan Covers (Inclusions)

Health Insurance plans for individuals have various inclusions. Some of which are listed below:

1. Day Care treatment Expenses: A daycare facility is one in which the patient doesn’t need to be hospitalized for more than 24 hours. Individual Health Insurance ensures that it provides coverage for daycare as well. Examples of daycare could include Cataract operations.

2. In-patient hospitalization cost: Health Insurance Plans for individuals covers for the medical expenses which are caused because of hospitalization which is considered as In-patient hospitalization cost.

3. Pre and Post-hospitalization Cost: Individual Health Plan covers medical expenses which are caused before hospitalization which is pre-hospitalization cost. Examples include MRI, X-ray, sonography, blood test, urine test, etc. Individual Health Plan also covers medical expenses caused after hospitalization which is post-hospitalization cost. The examples include medicines or any medical test performed

4. Ambulance Cost: Individual Health Insurance covers ambulance cost as well for the patient. Thus, Health Insurance Plans for Individuals offers a certain amount thus giving relief from ambulance charges.

5. Hospital Charges: Individual Health Plan provides a daily cash allowance of a certain amount. The amount is decided at the time of purchase of the policy. This cash could be used for transportation or some other use.

6. Refill Benefits: Individual Health Insurance also provides restoring benefits in which can refill the coverage once it gets used up. This refilling is available for unrelated claims.

What individual Health Insurance Plan Does NOT Covers (Exclusions)

The Individual Health Insurance Plan does come with some of its exclusions as well. It is always recommended that you read all the terms and conditions properly, know if are excluded or included by the plan, this would help you avoid end moment surprises for the Individual health plan. Below are the pointers:

How to Choose the Best Individual Health Insurance Plans in India?

1. Sum Assured: While we are unhealthy, it costs a lot when we visit a doctor. Also, if there is a procedure that needs to be performed, it could even leave our bank balance empty. So, it is always preferred to choose individual health insurance with maximum coverage. Also, if we are taking Health Insurance plans for individuals who are the senior-most, then as they are more likely to contract diseases, they must have the maximum coverage possible.

2. Family Floater Health Plan vs Individual Health Plan: If you are a family of younger people including you, your wife and a child, then it is always preferred that you purchase a Family Floater health plan. Moreover, if you have parents who need to be insured, they must be given an individual health plan or Health Insurance Plans for Individuals as it provides more coverage which they may need in their old age.

3. Less waiting period: When you purchase a Health Insurance Plans for Individuals, you will have to keep in mind that it should have a lesser waiting period for pre-existing diseases if any. Mostly the waiting period could vary between 2 to 4 years. Choose the one lesser waiting period as you are more vulnerable to pre-existing diseases.

4. Keep Maximum Renewal Age: When you are younger, you may or may not need an Individual health plan. But as you grow older, you must be aware that your body might not support you all the time. So, you must have a Health Insurance plan for Individuals which can provide renewability at least till the age of 70 or 75 years of age.

5. Claim Settlement Ratio: If you are confused while choosing an Individual Health Insurance, then you must check for the claim settlement ratio of the company. The one with a more claim settlement ratio should be chosen. This would ensure you have hassle-free claim settlements.

6. Sub-limits: An Individual Health Insurance must have a sub-limit that should be used for room rent, per day expense, etc. If you want to avoid removing any additional money from your pocket, then purchase an Individual Health Insurance which offers more sub-limits.

7. Network Hospital: If you are opting for Individual Health Plan with a cashless claim facility, then you have to check whether the network hospital mentioned is within your locality. Also, the network hospital should be expanded in different parts of India as well. This could help in case the insured is travelling to some other place.

8. Compare Premiums: While purchasing an Individual Health Insurance, it should be kept as a habit to compare the premiums as it could be a possibility that there are two plans offering the same benefits and coverage, but one of them is with a lower premium. So, compare the plans for premium. However, an Individual health plan should not only be purchased just because of a lower premium, but you must also check other benefits as well.

Exclusions: Read the terms and conditions properly to know if you are eligible for the Individual Health Insurance. If you are excluded from Health Insurance Plans for Individuals, then know it from the beginning to avoid rejection at the final stage of the claim process.

10. Feedback: Make sure you read the reviews of the Health Insurance Plans for Individuals. This would give you more idea about the plan.

11.Riders: Riders are purchased on top of the base plan to increase the coverage in Health Insurance Plans for Individuals. It could be helpful and would provide financial safeguard during times of accidents, critical illnesses, etc. Also, note that you must purchase rider only if it is required.

Car Insurance

Car insurance is a legal agreement between you, the insured, and the insurance company or the insurer, wherein the insurer is liable to cover any financial losses that occur because of an accident or theft of the car or damages to a third party because of the car. The extent of coverage, however, depends on the terms and conditions of the car insurance policy document.

Now buy your dream car without the financial stress of owning one. Car insurance allows you to safeguard yourself and your dependents from financial losses that could arise out of damages to your car. The damages may occur because of accidents, theft, natural calamities, and much more. Buying car insurance is simple, hassle-free, and convenient.

Why Do You Need Car Insurance?

If you do not already have insurance on your car, you need one immediately because:

Key Features And Benefits Of A Car Insurance Policy

Car insurance policies offer a wide variety of benefits to individuals these days, making your dream car more accessible and affordable. The key features and benefits of having a car insurance policy include:

Types Of Car Insurance Policies In India

Depending on the extent of financial coverage and risks you want to cover against, car insurance policies in India are essentially of two types:

1. Third-Party Liability Policy Third-party liability insurance is the most basic and minimum requirement on your car as per Indian law. It covers you against any financial and legal liabilities that arise out of damages to a third party or their property because of your car.

2. Comprehensive Policy A comprehensive policy is more detailed than the third-party liability policy, with much larger coverage. It not only covers losses from damage caused to a third party but also financial losses to you because of damage to your car or property because of the car.

3. Pay-as-you-drive Policy Under this policy plan, you need to pay the insurance premium amount based on the number of kilometers covered by the car. The premium amount is usage-based. You are covered as per the inclusions of the comprehensive and the third-party liability policy on a pilot basis for a year.

What is Bharat Griha Raksha Policy?

The shelter is one of the three fundamental necessities of a person’s life. A home has to be protected the way it protects us. For this reason, the Insurance Regulatory and Development Authority of India (IRDAI) has introduced a standard home insurance plan that offers coverage against the perils and risks that your home is exposed to.

1. Third-Party Liability Policy In its latest released press on 4th January 2021, the IRDAI has issued guidelines for protecting the house. It has been announced that the Special Fire and Special Perils (SFSP) Policy that was provided earlier under All India Fire and Tariff (AIFT), 2001, will be replaced by the following standard insurance products and the general insurers that have been offering the policies for fire and allied perils insurance will be offering the newly launched insurance products from 1st April 2021. Those products are as follows.

The Bharat Griha Raksha Policy offers coverage to your home building and home content that refers to the things and articles of the house. This policy compensates for the loss or damage you may suffer unfortunate unforeseen incidents that happen to result in physical loss, damage, or destruction of the building of your home and the articles or contents within it.

Key Features of Bharat Griha Raksha Policy

The key highlights of the Bharat Griha Raksha Policy are as follows.

Covered Risks –  Bharat Griha Raksha Policy provides coverage for a wide range of perils such as natural disasters (storm, hurricane, tsunami, tempest, flood, landslide. Tornado, earthquake, typhoon, and many more), fire (forest, bush, jungle fire), any kind of impact damage, strike, riot, acts of terrorism, water tank bursting or overflowing, apparatus and pipes leakage and many more.

Availability –  This policy becomes active and starts to give coverage within 7 days from the occurrence of any covered loss or damage.

Home Content Coverage –  Bharat Griha Raksha Policy not only protects the home structure but also provides protection to the contents or articles within it automatically without even declaring their details for 20% of the sum insured of the insured building which is subject to a maximum amount of 10 lakhs

Optional Coverage –  There are two optional coverage available with this policy

Flexibility -  This insurance policy is flexible enough and the coverage can be adjusted according to the requirements of the insured.

Additional Benefits - The insured person under this policy can file new add-ons according to their convenience that is not included in the basic cover, optional cover, and in-built cover if those extensions are available with the insurance products.

Key Features Documents –  This insurance policy also has the advantage of Key Features Documents where one can get the basic information related to the policy and its products and also it gives answers to the Frequently Asked Questions.

Smooth and Easy –  Just like all other insurance policies introduced by IRDAI, the features of the Bharat Griha Raksha Policy are customer-friendly and easy to avail of. The Policy Wordings are written in the lucid and placid language.

Eligibility Criteria of Bharat Griha Raksha Policy If you are the owner, authorized occupier, tenant, or landlord of the building and liable for insurance, you are eligible to avail Bharat Griha Raksha Policy. This insurance policy will be available for you only if you use the home building for residential purposes. But if the building is used and occupied for commercial purposes by employing other people, you cannot purchase this policy. For commercial activities, there are other insurance policies available that you may opt for.

This policy will give you coverage for any article, thing, or content of that residential building if you are the owner, purchaser, or responsible for it.

What are the inclusions of the Bharat Griha Raksha Policy?

The Bharat Griha Raksha Policy provides you three types of cover and they are as follows.

1. Home Building Cover This coverage protects the building structure of Your home.

2. Home Contents Cover The policy gives you coverage for the articles or things in Your home. Where Home Building is also covered, General Contents are automatically covered for 20% of the Sum Insured of the Home Building subject to a maximum of ₹ 10 Lakh (Rupees Ten Lakh) unless you opt for a higher Sum Insured for Home Contents and declare the details. At least one of the above 2 covers is compulsory.

3. Optional Cover There are some optional covers available with Bharat Griha Raksha Policy on payment of additional premium and they are as follows.

To make it more understandable and simpler for you, here is one table that gives you the details of the coverage that the Bharat Griha Raksha Policy offers to protect you in different ways.

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