FOUR INSURNACE FACTS

Insurance protects you and your beloved ones from unexpected financial loss which may change your life to a traffic one.
These insurance facts one must know well

Contents

1. Pure Insurance and insurance with investment In India the concept of insurance mingled with investment. So there is a lot of insurance product which we can classify into three categories as follows. Continue reading 2. How many insurance policies required for a family Proper insurance policies help you to cover all these risks up to a certain level. Here we can see what type of policies needed for a family to cover their risk. Continue reading 3. AEGON Religare iTerm Plan, high life cover low cost AEGON Religare iTerm plan is an online term life insurance plan suitable for the life insurance need of a person who wishes to secure his or her family Continue reading 4. Postal Life Insurance offer Low premium high return Postal Department of Indias Postal Life Insurance offers high bonus with lowest premium which handles single insurance and group insurance policies Continue reading

Pure Insurance Vs insurance with investment

You must have heard a lot of insurance policies such as Term life insurance, whole life insurance, endowment insurance, money back insurance plan, Unit linked insurance plan, retirement insurance plan and so on. These terms may make you confused a lot and you may wonder which schemes to be selected for your insurance needs. Insurance agents also made you more confused by narrating advantages of each type of insurance schemes. But you must have a general knowledge about each type of insurance schemes.

In India the concept of insurance mingled with investment. But in foreign countries, people do not like to mix up insurance and investment. Once I posted a query in a forum. The query was Can we mix up insurance and investments? Is it profitable? But all the replies I got were against mixing up insurance and investments. Insurance is for getting enough coverage for the expected loss and the concept of investment is growing our wealth. Insurance compensates our monetary loss while investment increases our money or wealth. But in India it is considered that insurance is a product which helps investment also. So in India insurance companies issue a lot of insurance products mixed with investments. We can classify insurance into three categories as follows:Insurance which gives complete protection: These types of insurance are pure insurances which have no investment factorin it. This insurance gives complete coverage of the monetary loss of the damage as per the terms and conditions of the policy. This type of policy does not give any monetary benefit, if the insured person or insured material overcomes the insured period. Pure term life insurance, home insurance, auto insurance, health insurance etc are under this category. Normally this insurance period

is one year and we should pay renewal premium every year and we will get insurance protection till the end insurance period and this period will be extended for another year after paying the premium. Pure term life insurance policy is one of these types of life insurance policy. This insurance policy has comparatively low premium (cheap insurance policy) when compared to insurance policy which has investment factor. Insurance policy which gives protection and investment: This type of insurance policies cover monetary loss and at the same time a return for your premium in between or at the end of the insurance period. A large portion of life insurance policies are under this category. Endowment policy, money back policy, whole life insurance policy, unit linked insurance policies etc. are gives insurance protection and a return for your premium amount. As per the nature of the policy we have to pay high premium than pure insurance policies. Whole life insurance policy gives insurance cover till the end of your life, all other insurance policies gives life cover till the policy term (for a stipulated period) only. When the investment factor is high the premium also will be high. Insurance policy which gives investment only: There are certain insurance policies give you

investment only, no insurance protection. Retirement insurance plans are coming under this category. We should invest a stipulated amount as premium for a certain period and at the end of the insurance period or retirement of the insured, the insurance company gives you a regular income (monthly, quarterly, half-yearly or annually) as per the terms and conditions of the policy. Normally the insurance company invests the accumulated money in an annuity which gives you a regular income. You can choose from any of these insurance categories or altogether, but when you join an insurance policy learn all the aspect of the policy. Go through the prospectus and terms and conditions of the policy and compare same type of policies with different insurance companies. Some websites also helps you to compare insurance products of various insurance companies. Do your home work well and choose a suitable plan to secure the future or you and your beloved ones. Related posts Ten insurance related articles LIC Jeevan Ankur child plan for the needs of child

How many insurance policies required for a family?

Family is the basic unit of the society. It is an unavoidable unit for every community, society or nation. Normally family consists of Father, Mother and children. Some families also have grant parents and other immediate relatives. Family needs income to survive. Without money nobody can survive. For all requirements you need money. We can classify families with high income, low-income and middle-income on the basis of annual income of the family. There is one or more bread earning members in each family. With the income of these bread earning members the family meet all their monetary requirements.

But todays world is a risky world. We cannot predict what type of risk we may face every time. Some of these risks may steal the life or working ability of the bread earners of the family. Some other type of risks brings monetary loss to the family. Whatever is the risk we have to cover those for the smooth running of the family? We cannot prevent or control most of these risks. Only thing we can do is to compensate the monetary loss of these risks. Proper insurance policies help you to cover all these risks up to a certain level. Here we can see what type of policies needed for a family to cover their risk. We must completely be aware about possible risks and which policies cover what type of risks, how much premium we have to pay for each type of risk cover and how can we make claim for each type of risk etc. We have to select policies as per our income and financial needs. Normally high income people have high financial requirements and low-income people have comparatively low financial needs. So insurance policies also choose as per the financial needs and income of the family. Normally following insurance policies required for a family Life insurance policy: Life insurance covers the life of the insured person. The life of the bread earning member of the family can cover with this life insurance policy. The life cover or sum assured will get to the nominee or dependents or the insured person, if the insured person dies or getting disabled. An adequate insurance cover will solve the monetary loss which happened through the

death or disability of the bread earning member of the family. Accidental insurance policy: An accidental insurance can secure the financial future of the family even after the death or disability of the bread earner through an unexpected accident. This is done with the life insurance with a small additional premium. Medical Insurance policy: One of the costly financial needs of a family is the medical treatment of any of the family member. A good medical insurance or mediclaim policy can secure the monetary loss through an unexpected illness of any of the family member. This medical insurance policy not only compensates the treatment expenses but also ensure good medical treatment for each family member. An adequate medical insurance is necessary for each family. Auto insurance or car insurance policy: Auto insurance secures the financial loss due to vehicle accident. This insurance covers the repair cost due to accident and at the same time it covers the financial loss of the third-party who has a financial loss due to the accident of your vehicle. So auto insurance compensates the repair charges and compensation of the party who met with accident. But you must be care and should keep all the traffic rules even after getting an adequate vehicle insurance policy. Home insurance: A good home insurance policy protect you from the financial loss due to theft, fire or any natural calamities. The insurance company compensates

you for the financial loss due to any of these unfortunate events happened to your assets. Pension or retirement policy: A good retirement policy keeps you from the financial inadequacy due to your retirement. If you have an adequate retirement policy you can meet all you financial requirements yourself even after your retirement. You need not depend on others for your monetary needs even after your retirement. The abovementioned insurance policies secure the financial future of your family even after any unfortunate events happened to you or your family. Always be careful for adequate insurance cover and you must keep away from all type of risks even after getting adequate insurance. You might be heard that prevention is better than cure. But we must be away from all type of infections even after proper vaccination. Likewise you must take all care to be away from all risk possibilities even after taking adequate insurance policy. A monetary compensation could not give the love and care to your loved ones. But take adequate insurance to cover any unforeseen risks. Related Posts What does cheap insurance means? How to reduce your auto insurance cost?

AEGON Religare iTerm Plan, high life cover low cost

Pure term life insurance gives real insurance protection for your life with lowest premium. Now almost all insurance companies provide term life insurance plan. A pure term life insurance plan gives high life cover with least annual premium and it compensate financially the untimely death of the insured. Term life insurance plan is the best life insurance plan to protect the financial future of the dependents of the insured. If planned well, the high life cover or sum assured, say Rs. 50 Lakhs, 1 Crore, 2 crore etc. are enough to protect the financial future of the family of the insured. AEGON Religare iTerm plan is such a term life insurance plan which is suitable for the life insurance need of a person who wishes to secure his or her family. AEGON Religare iTerm plan is an online term life insurance plan which allows covering the life of the insured till he or she reach the age of 75. The latest form of the term life

insurance plan has a built in terminal illness cover and has three rider options. AEGON Religare iTerm Plan The important features of AEGON Religare iTerm Plan are (1) Pure Term insurance plan (2) Inbuilt terminal illness cover (3) Accidental death benefit rider (4) Waiver of premium on critical illnes rider (5) Women critical illness rider (6) Longer term policy till the age of 75 years and (7) Online process. With all these features the Term life insurance plan has a separate entity from other term life insurance plans. Minimum and Maximum Sum Assured: The minimum sum assured of AEGON Religare iTerm Plan is Rs. 10, 00,000 and there is no limit for maximum sum assured. Minimum and Maximum Age of entry: Minimum age of entry for the AEGON Religare iTerm Plan is 18 years of age and the maximum age of entry is 65 years. Maximum Maturity Age: The maximum maturity age of the online term life insurance plan is 75 years. Minimum and Maximum term: The minimum insurance term of the AEGON Religare iTerm Plan is 5 years and the maximum term is 40 years or the age of 75 years. A person can insure his life till he reaches the age of 75 years. Premium payment term: The premium payment term of the online term life insurance is equal to the policy

term, for example if a policy is for 30 years the premium payment term is also 30 years. Frequency for premium payment: There are two options for the payment of premium. One is annual premium payment which allows you to pay premium every year of the policy term and the second one is one single premium. Premium Amount: The premium payment of the AEGON Religare iTerm term life insurance plan for a 25 year old non smoking man for a life cover (sum Assured) of Rs. 1 crore is as follows. All applicable taxes will be extra with the following amounts. Sum Assured Age of Entry Term of insurance Annual premium Single premium : : : : : Rs. 1, 00, 00,000 25 years 35 years Rs. 6400 Rs. 1, 46,600

If the terms of insurance till the age of 75 years the annual premium for the above case will be Rs. 7000 per year and for single premium option, the premium amount will be Rs. 2, 87,100. For a smoking male person the annual premium for 35 years will be Rs. 9300 per year and for a 35 year old non

smoking female the annual premium will be Rs. 5600 only for a sum assure of Rs. 1 crore. Terminal illness benefit: The AEGON Religare iTerm term life insurance plan is coming with built in terminal illness benefit and if the insured is diagnosed with a terminal illness 25% of the base sum insured up to a maximum of Rs. 1 crore will be paid and the base sum assured will be reduced to the amount paid as terminal illness benefit. The death benefit: The Religare iTerm term life insurance plan cover all form of death including terrorist attack, but excluding suicide during the first year of policy or within one year of reinstatement of the policy. Tax benefit: The premium payable for the AEGON Religare iTerm term life insurance plan is exempted from tax, at the year at which it is paid, under section 80C of the income tax act. Accidental death benefit rider: The accidental death benefit rider of the Religare i Term plan gives the nominee and additional amount (selected rider amount) will be paid with the sum assured. Waiver of premium on Critical illness rider: This rider allows you to waive premium after diagnosing critical illness such as Cancer, Coronary Artery Bypass, Heart Attack or Stroke, but the policy will be active till the end of its terms.

Women Critical Illness rider: This rider especially for women insured, allows:(1) 5% of the sum assured will be paid out if the insured is diagnosed Malignant Cancer of the Female Organs. (2) 2.5% of sum assured for pregnancy complications & Congenital Anomalies in Newborn Child (only if the woman insured is at the age of 35 years or below). As a whole the AEGON Religare iTerm online term life insurance plan is one of the best term insurance plans which satisfies the financial needs of the insured even if he or she is alive, but suffering from critical illness and also satisfy the financial needs of the family of the insured if death of the insured is happened within the policy term. Calculate Premium with AEGON Religare iTerm term life insurance plan Premium calculator for all options and ages Related Posts

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Postal Life Insurance offer Low premium high return

Postal Department of Indias Postal Life Insurance offers high bonus with lowest premium. Postal Life Insurance started on 1st February 1884 and still continues with lower premium and high return offer. The 128 year old Life insurance scheme from the Postal Department of India is for state and Central government employees, employees of central and state run companies, universities and government aided institutions; Nationalized banks local bodies, officers and staff of the Defence services and Para-Military forces etc. Postal life insurance handles single insurance and group insurance policies. The postal life insurance scheme offers comparatively better returns than other insurance

products. Postal department offers sum assured and accumulated annual bonus at the maturity of the policy and the announced annual bonus is Rs. 70 per Rs. 1000 sum assured for their endowment policies, since 2003. Types of Postal Life Insurance Policies Postal life insurance offer 7 types of life insurance policies and each type of policy has its own peculiarities and features. Whole Life Assurance (SURAKSHA) Whole life Assurance or Suraksha policy offer sum assured and accrued annual bonus payable to the nominee or legal heir after the death of the insured. This policy can convert to Endowment Assurance Policy after one year. Minimum Age of Entry Maximum Age of Entry: : 19 years 55 years

Minimum Sum Assured: Rs. 20000 Maximum Sum Assured: Rs. 10 Lakhs Endowment Assurance (SANTOSH) This policy offer sum assured and accrued bonus till the insured attain predetermined age of maturity. When unexpected death happened to the insured the nominee or legal heirs get the sum assured and accrued bonus. The minimum and maximum age of entry and minimum

and maximum sum assured are same as Whole Life Assurance policy. Convertible Whole Life Assurance (SUVIDHA) Convertible Whole Life Assurance Policy is also like whole life insurance policy and can convert to Endowment Assurance after five years. But the age of such conversion should not be more than 55 years. If such conversion is not done within 6 years, the policy will be treated as Whole Life Assurance Policy. Minimum and maximum age of entry and minimum and maximum sum assured are same as Whole Life Assurance policy. Anticipated Endowment Assurance (SUMANGAL) Anticipated Endowment Assurance is named as SUMANGAL is a Money Back Policy with maximum sum assured of Rs. 5 Lakh. Periodical Money Back is the main feature of this policy and suitable for regular periodical policy. This Anticipated Endowment Assurance policy is for 15 years and 20 years term. For 15 years policy the money back is given after 6 years, 9 years and 12 years at the rate of 20% of sum assured and at the maturity (End of 15th year) the remaining 40 % sum assured and the accumulated bonus will be given. For 20 years policy the money back is given after 8 years, 12 years and 16 years at the rate of 20% of sum assured and at the maturity (End of 20th year) the

remaining 40 % sum assured and the accumulated bonus will be given. But if the unexpected death of the insured is happened before the maturity the full sum assured (without deducting the interim money paid as money back scheme) with accumulated bonus will be paid to the nominee or legal hires of the insured. Joint Life Assurance (YUGAL SURAKSHA) If any of the spouses is eligible for joining postal life insurance policy they can join this joint life insurance policy which cover the life of both the couples with one premium for both lives. All other features are same as Endowment assurance policy. All these policies required compulsory medical checkup for a sum assured over Rs. 1 Lakh. But for Anticipated Endowment Assurance and Joint life insurance policy medical checkup is compulsory for any amount of sum assured. Scheme for Physically handicapped persons A Physically handicapped person also can join any of the abovementioned postal life insurance policies. But medical examination is compulsory to determine the nature and extent of handicap. The premium may be little bit high according to the nature of disability. Children Policy

From 20th January, 2006 the postal life insurance started Children Policy to provide insurance cover for children. Maximum two children of a family can insure under this Children Policy. Minimum Age of Child: 5 years Maximum Age of Child: 20 years Maximum Sum assured is Rs. 1 Lakh or the sum assured of the main insurance policy holder whichever is less. The age of main policy holder must not be more than 45 years when join the policy. The premium will be waived, if the death of main insurance policy holder occurred within the policy term and the full sum assured and accumulated bonus will be paid to the children when the term of the policy is completed. There is no loan facility available for children policy. No health check up of the child is required, but the child must be healthy at the time of opening the policy. Child policy also gets bonus just like endowment policy. Generally Post office life insurance is helpful for government employees to getting insured and at the same time they can yield a good return than any other insurance policies. Postal life insurance has another set of policies named Rural Postal Life Insurance policy open for all. Rural life insurance are 6 type of polices such as (1) Whole Life Assurance (GRAMA SURAKSHA) (2) Convertible Whole Life Assurance (GRAMA SUVIDHA) (3) Endowment Assurance (GRAMA SANTOSH (4) Anticipated Endowment Assurance (GRAMA SUMANGAL) (5) GRAM PRIYA and (6) Scheme for Physically handicapped

persons. These policies open for all and can purchase from all post offices all over the country. Post office does a good service to people through these insurance policies and all other services they are doing. Postal Life Insurance offer Low premium high return

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