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How to Compare Insurance Online?

Learn how to compare insurance online to ensure that you reap the maximum benefits from your plans at the best cost:

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Life Insurance
Notable features of some plans include purchases which are hassle-free. Flickr

Many insurance providers in India have opted for an online way of communicating with their customers via online portals. These online portals allow the customers or policy seekers to compare and find suitable plans as per their needs.

Learn how to compare insurance online to ensure that you reap the maximum benefits from your plans at the best cost.

  1. Review the policy: While comparing insurance policies ensure that you review the plans well. Also, reviewing the plans at a regular interval helps you to keep updated with the plan, premium change, add-ons or other benefits.

2. Analyze the coverage: Before selecting the coverage, check for your budget and needs. Accordingly, compare different policies that offer you the required facilities and falls within your budget.

3. Compare quotes from various insurers: Make sure you compare the quotes of the different insurers before fixing onto a plan. This approach may help you save some extra penny in your pocket.

4. Read policy wordings properly: Before finalizing on any plan, ensure that you have read the policy wordings well. Make sure that you understand all the norms of the policy correctly to avoid claim rejections. This also helps you to know what is covered or not.

5. Don’t jump for riders unnecessarily: You don’t need to opt for riders even if you don’t need it. Avoid purchasing rider just for the sake of buying it. However, if you wish to increase the coverage, then you can opt for riders.

Life Insurance
Life Insurance also comes with several benefits such as death benefit, maturity benefit, the addition of loyalty. Flickr

Apart from the points mentioned above, some other factors are crucial while comparing an insurance policy online. Since different insurance companies offer different life insurance plans, selecting the right plan is quite a difficult task.

Ensure that you check the following factors while comparing an insurance plan online:

Check for the premium

When comparing insurance policies, one of the most important things you must see is that check that you are sufficiently insured. All you can do is add the list of policies which best suits your needs, and when you notice that there is a variety of insurance plans which offers the same benefits, compare the premium amount of those policies. This way, you can choose the option at low premiums. Remember, never choose lesser premium over other benefits as you may need to pay extra at a later stage.

Features of the insurance plan

Check all the features thoroughly and compare the insurance plans. Consider customizable policy tenure, bonuses, accidental death benefits, sum assured, premium paying tenure, and other aspects. Also, compare the available riders so that you gain much stability.

Look for the riders

Riders are an optional component which is added on top of the base amount. Our premium increases by a small amount when one opts for riders. So if you are not satisfied with the coverage, then you can increase it by giving a certain amount. Different companies offer a variety of riders. So choose one which will fulfil all your requirements. Purchase riders only if you need it.

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Claim Settlement Ratio

The claim settlement ratio denotes the ratio of total claims settled to the total number of claims filed. If the claim settlement ratio is higher, then it is beneficial because it indicates the claims settled as to claims filed. The chances of getting claims to settle are more if the company’s claim settlement ratio is higher. However, the claim settlement ratio for each life insurance companies changes every year.

The bottom line is comparing insurance online is advantageous. Also note, while comparing insurance policies, check all the pros and cons to scrutinize the plan to ensure seamless online insurance buying experience.

Author: Rashmi Kotian

An engineer by mind and a writer by heart, she is a perfect amalgamation of technicality and creativity. She can easily mesmerize people who are suckers of good writings. She strongly believes in constantly nurturing her forte of drooling people for her words effortlessly.

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Unit-Linked Insurance Plan- A Perfect Wealth-Building Tool for You

Most of the people prefer to go with these options

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insurance
Nowadays, aggressive insurance plans are being more popular than traditional plans like endowment policies. Pixabay

Savings and investments have become crucial parts of our lives, especially when the inflation and rising costs of living are concerned. Here comes the budgeting to force-fit several costs towards regular needs- from clothing to food, from education to other lifestyle stuff under insurance.

Different Investment Options Available for You

Since money-making is the priority for almost all of us, several investment options are open to getting anticipated returns from. The aim behind investments is nothing but to get higher returns as quickly as possible. Here, risk appetite also plays an important role. A general perception towards higher returns is that the risk is even higher. Usually, non-financial investments such as gold and properties are considered for a safer side, often when you do not need recurring cash-inflows. The rest, you can go with financial investment avenues such as- 

  • Mutual Funds- Usually, you have two options while investing under mutual funds as equities and debts. Equities give higher returns at high risk, whereas debts are considered as low-risk investments offering lower returns. 
  • Direct Equities- In simple words, stocks. Highly volatile assets, which may or may not give you sizeable returns. 
  • National Pension Scheme- the Pension Fund Regulatory and Development Authority of India has introduced NPS, where returns up to 11% can be gained with the minimum contribution of Rs.1000. 
  • Public Provident Fund- With the longer tenure of 15 years and tax-free investments, it is the safest investment among all, offered by the government.  
  • Bank FDs- Most favored form of investment where you have a choice of receiving interest on your investments on a yearly, half-yearly, quarterly or monthly basis. 
  • Senior Citizen’s Savings Scheme- A retirement scheme after the 60s of the age, you get invested with the interest rate of around 8.3% for the tenure of 5 years, and the capping of Rs.15 Lakhs. 

Most of the people prefer to go with these options. However, hardly a few of us analyze how much exactly do we spend and on what. The ‘must-have’ list starts with the life insurance on top of all; the investment part comes second. Why so?

Insurance
Savings and investments have become crucial parts of our lives, especially when the inflation and rising costs of living are concerned. Here comes the budgeting to force-fit several costs towards regular needs- from clothing to food, from education to other lifestyle stuff under insurance. Pixabay

You need at least one life insurance policy if you really care for your loved ones’ future. Have you ever thought of getting both the benefits of life insurance coverage and investment at a single host? Well, savings and investment plans make this better for you. 

Nowadays, aggressive investment plans are being more popular than traditional plans like endowment policies. Yes, we are talking about a ULIP policy.

Unit Linked Insurance Plans

A type of life insurance, Unit Linked Insurance Plan, helps you get a sizeable corpus at the end of the tenure along with adequate sum assured. In case of any uncertainty such as the demise of the insured, the company pays the full sum assured to the beneficiaries along with accrued corpus if any. Else, at the end of the tenure, you get maturity benefits as defined at the commencement of the policy.  

Though ULIPs offer a similar rate of return as that of ELSS or NPS, here you have a double benefit of insurance and investment. Along with life cover in terms of sum assured, here are three fundamental advantages of ULIPs-

  • Greater Returns- When compared to PPF or other investments like bank FDs, ULIPs definitely offer higher returns. The only thing you need to understand is the volatility of the market and the proper choice of funds. Your forecasting skills will help you get even more than what you anticipate. 
  • Flexibility- You can switch between multiple market-linked products such as debts, equities, or even a blend of both. If you feel a particular fund is not performing well, you can switch to another one for better returns. Forecasting can also be made with the help of top-performing ULIP funds.
  • Tax Benefits- ULIP tax-saving instruments help you save your hard-earned money and utilize it for a better cause. ULIP tax benefits can be availed for both premiums paid and maturity benefits under Section 80C and Section 10(10D) of the Income Tax Act respectively. The tax structure in India lets you save up to Rs.1.5 Lakhs per financial year when you invest in ULIPs. 

Bearing in mind the risk appetite and your future financial goals, you can choose to invest in suitable funds. This way, a unit-linked insurance plan becomes a perfect wealth-building tool for you. 

CRISIL Listings for ULIPs

When the most suitable ULIPs in the market are concerned, CRISIL enlists two ULIP policies from Edelweiss Tokio on top-most position on their ‘cost and performance evaluation list’. The wealth Secure+ plan helps you stay invested for a long-term to gain sizeable corpus whereas the Wealth Ultima plan is a systematic monthly plan. 

Edelweiss Tokio Life – Wealth Secure+

  1. Low premiums as just Rs.1000 per month
  2. Lock-in period of 5 years with lifetime coverage of up to 99 years of your age
  3. 3 different plan options
  4. Loyalty bonuses and maturity additions
  5. 5 Pay 5 Stay option for short term investment
  6. 7 different funds to choose from
  7. Tax benefits
Money, Savings, Piggy, White, Saving Money
A type of life insurance, Unit Linked Insurance Plan, helps you get a sizeable corpus at the end of the tenure along with adequate sum assured. In case of any uncertainty such as the demise of the insured, the company pays the full sum assured to the beneficiaries along with accrued corpus if any. Pixabay

Edelweiss Tokio Life – Wealth Ultima

  1. Systematic transfer plan supporting your goals and strategy
  2. Systematic withdrawal from the fund value
  3. Life cover up to 80 years of your age
  4. Policy, guarantee, and booster additions
  5. Little champ benefit for your child
  6. Tax benefits

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To conclude, ULIPs stand to be perfect when you are aiming to gain a sizeable corpus with wealth-building tools. Both the plans mentioned above are available online, and you can buy the best suitable one as per your convenience. Fund allocation and all the essentials can also be made online. Thus, stay invested with unit-linked insurance plans and chase your financial goals, effortlessly!