Truth about these ads: 8% Guaranteed Returns, LIC Scheme closing soon!
Are those ads that claim “8% Guaranteed Returns; LIC Scheme closing soon!” really true? Here is what you will really get if you buy those!
Continue reading →This is the archive of all our articles related to life insurance
Are those ads that claim “8% Guaranteed Returns; LIC Scheme closing soon!” really true? Here is what you will really get if you buy those!
Continue reading →Here is how you can buy LIC’s Tech Term online step by step. Kindly note that at the time of writing (2nd Sep 2019), the purchase portal is still new. You may expect them to test it and make some changes in the next few days. Therefore, for now, use it to compute the premium…
Continue reading →LIC’s Tech Term is now available for purchase from its online portal. However, LIC’s Tech Term Premium is still a few thousands more than term policies from private insurers. Waiting for a term plan to launch is the dumbest thing a person can do and now the wait is not worth it IMO. Here are…
Continue reading →Here is how you can calculate returns from an insurance policy. The next time an insurance agent shows you a policy benefit illustration or the next time your friend or relative asks you, “Is this a good policy to invest in?”, use this method to show the annualized return they can expect (before bonuses which…
Continue reading →Dear Dad, I had always heard that God takes good people first. I know you were too good, but why you were so good, Dad? I am writing this letter to you because I am unable to express my feelings to anyone else. It has been three months that you are not with us. I…
Continue reading →Claim settlement ratios (CSR) published by IRDA do not represent the probability of claim acceptance. Most private insurers have a claim settlement ratio comparable to that of LIC. Therefore the CSR will not help you choose a term life insurance policy. At best, CSRs would help you reject a few insurers. Here are some insights…
Continue reading →Will a life insurance claim be denied if the insured died in an accident where he was the driver without a valid driver’s license or valid vehicle insurance? Thanks to a question by Ganapathy Krishnan at Facebook group, Asan Ideas for Wealth, I was able to obtain an authoritative answer to this question from the insurance…
Continue reading →Everyone wishes they were a crorepati and this seems apparent from the sum insured chosen for a term life insurance policy! Why is everyone buying a “one crore” policy? Because it is a large sum? One followed by seven zeros (ten million) is just a number. It may or may not be the right number…
Continue reading →Benjamin Franklin wrote in 1748 that Time is Money in a note titled “Advice to a Young Tradesman”. This can be used in multiple ways and in this post, I use it to explain an important idea known as the Time Value of Money. Shall try to follow it up with other examples in future posts. Journalist…
Continue reading →The charges associated with a Unit linked Insurance Plan (ULIP) can significantly impact the returns from the policy. A two-part discussion on ULIPS: first how charges reduce returns and then a category-wise study of ULIP returns and how to compare them with mutual funds. This post is entirely due to an interesting thread started by Guru…
Continue reading →Here are some must-know facts about accident insurance policies in India that a buyer should be aware of. An accident insurance policy is one that provides 100% of sum insured in case of accidental death, 100% -50% of sum insured in case of permanent total disablement (eg. loss of both limbs, both eyes, both feet)*…
Continue reading →Claim settlement ratio does not matter anymore from 2015 if your life insurance policy is at least 3-years old because IRDA has amended the section 45 of insurance act such that any life insurance policy which is at least 3-years old cannot be denied claim “on the ground of misrepresentation or suppression of a material…
Continue reading →Here is how one can choose a term life insurance provider in 30 minutes. Each passing day, more and more individuals are realizing the need for buying a term life insurance plan. However, too much time elapses between when they decide to buy and actually buy. Many cannot choose. They require some kind of ratification…
Continue reading →While trying to buy a term life insurance plan, it is natural to want a listing of premiums offered by all insurers. So we type, “compare term insurance plans” in Google and click on one of the first few links, without scrolling down the page. The trouble is, most (if not all) of the ‘popular’…
Continue reading →Do not assume that your insurer will hand out your life insurance amount (term, endowment, ulip etc.) on a platter to your nominee! Deepak Shenoy of capital mind posted about how ICICI Pru Life bitterly fought a claim settlement and delayed it by about 7 years. http://capitalmind.in/2015/07/has-icici-prudential-life-taken-to-fake-doctors-prescriptions-to-avoid-paying-out-claims/ This led to the swift clamour that one should not…
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