IAM PLANNING TO BUY A INSURANCE TERM POLICY
WHICH IS THE BEST COMPANY IN THIS REGARD
PLS. CONSIDER FOLLOWING PARAMETERS
1.PREMIMUM
2.CLAIM SETTLEMENT PROCESS
3.LONGTERM PERSPECTIVE
PLS ALSO CLARIFY IF A PERSON IS ALIVE AFTER INSURED PERIOD DO WE GET ANYTHING RETURN BACK IN TERM POLICY.
WHICH IS BEST METHOD OF PAYING ANNUAL/QTRLY/MONTHLY
IN SPECIFIC LET ME KNOW ABOUT TATA AIG IN CASE OF TERM POLICY.
IS GUD TO CHOOSE THIS BCOZ PREMIUM WISE IT IS BEST
WHAT ABOUT OTHER FACTORS.
From India, Mumbai
WHICH IS THE BEST COMPANY IN THIS REGARD
PLS. CONSIDER FOLLOWING PARAMETERS
1.PREMIMUM
2.CLAIM SETTLEMENT PROCESS
3.LONGTERM PERSPECTIVE
PLS ALSO CLARIFY IF A PERSON IS ALIVE AFTER INSURED PERIOD DO WE GET ANYTHING RETURN BACK IN TERM POLICY.
WHICH IS BEST METHOD OF PAYING ANNUAL/QTRLY/MONTHLY
IN SPECIFIC LET ME KNOW ABOUT TATA AIG IN CASE OF TERM POLICY.
IS GUD TO CHOOSE THIS BCOZ PREMIUM WISE IT IS BEST
WHAT ABOUT OTHER FACTORS.
From India, Mumbai
Hello,
In term policies premium is low and person is adequately insured. If this is your first policy then please go for it. You need to insure yourself first. It does not have the advantage of any payback after the policy term expires, thats why the premium is low. Insurance agents also donot recommend this policy as the commission % is low on this policy.
For example for Rs 10000 premium, other policies will insure you for Rs. 2 Lakh but there will be benefits after the policy matures.
With the same amount of premium for a term policy you can get insured for around 30 lakhs...but term policy does not have the maturity benefits.
My suggestion take term policy for 15 lakh cover which should cost you around 5000 per year... and invest rest of the 5000 in some other instrument....
Pay your insurance annually....for that yu can open a recurring deposit account and deposit a definite sum in that account and use that amount to pay your annual premium...it will earn interest as well....
Thanks and regards
Shailender Bali
New Delhi
From United States, Cambridge
In term policies premium is low and person is adequately insured. If this is your first policy then please go for it. You need to insure yourself first. It does not have the advantage of any payback after the policy term expires, thats why the premium is low. Insurance agents also donot recommend this policy as the commission % is low on this policy.
For example for Rs 10000 premium, other policies will insure you for Rs. 2 Lakh but there will be benefits after the policy matures.
With the same amount of premium for a term policy you can get insured for around 30 lakhs...but term policy does not have the maturity benefits.
My suggestion take term policy for 15 lakh cover which should cost you around 5000 per year... and invest rest of the 5000 in some other instrument....
Pay your insurance annually....for that yu can open a recurring deposit account and deposit a definite sum in that account and use that amount to pay your annual premium...it will earn interest as well....
Thanks and regards
Shailender Bali
New Delhi
From United States, Cambridge
Hi,
The term is good when some is not financial backed up. It covers initially for 30 odd years... at a flat rate.
Suppose a guy of 23 years takes a cover for 10 lac then he has to pay 2400 -2600INR.
Where as if he has invested the amount in ULIP based product then he could have got the same at round 1100. Ulip starts from 10K per year.
Advantages of ULIP
1. Investment for continuous year
2. Gives good Return
3. Long Insurance Perid can be covered till aged 85years.
4. Tax benefits
5. Incase after 5 years if some one withdraws the amount the no TDS will be deducted (NSC , FDS etc are taxable)
6. Here insurance charge is deducted on a monthly basis.
Demerits
1. In 1st year 25% of amount is vested in MGt , Policy Charges & Advisor paid ups.
Good Companies
1. Reliance Insurance
2. Kotak
Worst Companies
1. LIC - Poor growth of money
2. Bajaj alliance - 70% charges
Why Ulip or Insurance
1 Good Return versus Post office scheme (dats to fetch accrued income & TDs is deducted on them
2. Best then 5 year lockin FD , which gives return @9% .
here one can expect 25-35% 5year compounded earning after all charges including insurance charges too.
Regards.
Rakesh Kukreja
+91-9891608516
The term is good when some is not financial backed up. It covers initially for 30 odd years... at a flat rate.
Suppose a guy of 23 years takes a cover for 10 lac then he has to pay 2400 -2600INR.
Where as if he has invested the amount in ULIP based product then he could have got the same at round 1100. Ulip starts from 10K per year.
Advantages of ULIP
1. Investment for continuous year
2. Gives good Return
3. Long Insurance Perid can be covered till aged 85years.
4. Tax benefits
5. Incase after 5 years if some one withdraws the amount the no TDS will be deducted (NSC , FDS etc are taxable)
6. Here insurance charge is deducted on a monthly basis.
Demerits
1. In 1st year 25% of amount is vested in MGt , Policy Charges & Advisor paid ups.
Good Companies
1. Reliance Insurance
2. Kotak
Worst Companies
1. LIC - Poor growth of money
2. Bajaj alliance - 70% charges
Why Ulip or Insurance
1 Good Return versus Post office scheme (dats to fetch accrued income & TDs is deducted on them
2. Best then 5 year lockin FD , which gives return @9% .
here one can expect 25-35% 5year compounded earning after all charges including insurance charges too.
Regards.
Rakesh Kukreja
+91-9891608516
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Term Insurance Premium Analysis.pdf