Category: Insurance

5 reasons to buy health insurance before 30

With the rising costs of medical care and surge of various diseases due to current human lifestyle, health insurance has become a must for every person. A case of medical emergency can enter anytime in a person’s life and hence financial advisors suggest that every person should buy a health insurance policy in advance. A lot of young people who are in their happy twenties think that a health insurance is something that they should reserve for their thirties to worry about. However, it is important to understand that investing in a health insurance policy early come with a lot of benefits and has nothing to do with whether or not your health is suffering today. Here are 5 reasons why you should buy health insurance before 30.

1. The younger you are, the cheaper it is

How much you pay as health insurance premium is highly dependent on your age. It can adversely increase post 30. Consider for example, if you buy a health plan worth Rs. 5 lakhs at age 25, you would be required to pay a premium worth Rs. 5000. But if you were to buy the same policy at the age of 35, the premium would cost you way more than before with no change in your health indicators. Hence, book your health insurance policy as early as possible. The younger you are the lower is the premium.

2. Sedentary lifestyle

Hectic schedules and desk-jobs have hampered our lifestyles at great extends. Problems related to cholesterol, diabetes, heart, lungs, and even orthopaedic concerns are no longer age bound. These problems can occur to anyone at any time. They do not wait for you to be middle-aged. Stress is a common cause nowadays known to take a toll on young people. Hence, it is always advisable to go for a health insurance plan early in age and not wait for something serious to happen to you.

3. Your employer cover is not sufficient

With the healthcare costs exponentially rising, the need of health insurance for every person cannot be ignored. You can always check the cost of one week’s hospitalisation and compare it with the coverage that your company provides. It is never sufficient. If this is not convincing enough, you can always think of the frequent medical care you will need when you grow old.

4. For availing advantages

There are certain parts of the health insurance plan which require you to go through a waiting period for an existing disease or illness. You might not require these benefits immediately at a young age but you do in case of emergencies when you grow old. You might not be able to avail these benefits due to the waiting periods then. Therefore, between the 20s and 30s, it is always the right time to buy a health plan.

5. It is just better financial planning

Along with the lower premiums and various other benefits, buying a health insurance plan at an early age helps in financial planning. These policies help you in your emergencies and medical expenses, thus allowing you to invest your hard-earned money is a better future for yourself.

Now that you have all the reasons to buy health insurance at a young age, you shouldn’t be wasting time. Book the best plan before you turn 30.

Top 5 Private Life Insurance Companies in India in 2018

The insurance sector in India has seen an exponential rise in the past decade. With over 24 major life insurance companies, India generates over Rs. 4.58 trillionin the form of premiums in a financial year. The insurance industry is likely to reach US$ 280 billion by 2020.Moreover, the life insurance industry in the country is likely to grow by 12-15 per cent annually for the next five years.

These staggering stats confirm one thing that people are investing in insurance products. And these investments are likely to increase with the increase in awareness amongst people. Every day, insurance policies with new benefits are launched in the market by companies to draw more customers. Companies are getting customer-centric and are trying to resolve issues of their customers in real time. In addition, since the past decade,the claim settlement ratio has also increased. Some of the leading insurers who ace these factors are:

  1. Max Life Insurance

Often touted as one of the best life insurance company in India – Max Life Insurance, is a collaboration of Mitsui Sumitomo Insurance Company and Max Financial Service Ltd. The company offers the best comprehensive long-term protection, retirement and saving schemes. Its multi channel distribution and high-service providing agencies help in providing one-stop solutions for all types of investment and insurance needs.

The company’s robust customer-centric approach makes it the largest non-bank private sector life insurance company in India. Max Life Insurance has an excellent track record of 15 years with a claim settlement ratio of 98.36%(FY2017-18). The company surpassed India’s largest insurance provider LIC in terms of claim settlement ratio and also has the maximum number of customer grievances resolved over a year.

  • AEGON Life Insurance

AEGON Life Insuranceis a combined venture between Aegon N.V. and the Times Group (also known as Bennett, Coleman & Company). Started in 2008, the company is focused on providing innovate and excellent working professional to its customers. Its multi-channel distribution facility is mainly based on a strategy that aims to help people in planning their life.

The company offers various plans like ULIPs, Pension plans, Group plans, Saving plans, Child plans, Endowment plans and many more. With 95.67 percent claim settlement ratio(FY 2017-18), the company is extremely efficient in solving its customer’s problems.

  • ICICI Prudential Life Insurance

A collaboration between India’s leading banks and Prudential Plus, ICICI Prudential Life Insurance is one the best life insurance company in the country. The enterprise started its operations in 2000 as the first private sector Life insurance company in India.

The corporation provides an array of products that cater to the financial goals of their buyers. ICICI Prudential life insurance offers products like Child Plan, ULIP plan, Investment Plan, term plan and Pension Plan. Moreover, the company is also a leader in claim settlement ratio, with over 97.88 percent claim settlement (FY 2017-18).

  • HDFC Standard Life Insurance

Founded in the year 2000, HDFC Standard Life insurance is a joint venture between Housing Development Financial Corporation Ltd. and Standard Life Plus. The company currently owns 27 retail and 8 group products in its portfolio and is spread over 414 branches in 900 cities and towns in India.

Moreover, for meeting the needs of its customers, the company provides an array of individual and group insurance solutions like a pension plan, saving and health plan, protection plan, child plan and women plan. HDFC Life Insurance offers plans in a customized way to fulfil the requirements of the customer and has a claim settlement ratio of 97.80% (FY 2017-18).

  • Exide Life Insurance

Earlier known as ING Vysya Life Insurance Company, Exide Life Insurance started its operations in 2001. It has a network of 200 offices supported by more than 35,000 advisors across the country.

The corporation is well known for providing customised insurance plans to its customers at affordable rates. With a customer-centric approach, the company’s plans are categorised into saving, protection, retirement and investment plan. The company also has a claim settlement ratio of 96. 81 percent(FY 2017-18).

Leading Insurers with best claim settlement ratios according to IRDA (2017-18)

                           S.No Company Claim Settlement Ratio
1 Max Life Insurance 98.36%
2 LIC India 98.04%
3 ICICI Prudential 97. 88%
4 HDFC Life 97.80%
5 TATA AIA 98.00%
6 Exide Life 96.81%
7 SBI Life 96.76%
8 Birla Sun Life 96.01
9 Aegon Life 95.67%
10 Canara HSBC 95. 22%

Summing Up

If you are on a look out for a company that provides the best insurance products and easy settlement process, these five are at the top. Be it health, term, child, endowment, ULIP or savings plan; these companies are at the top of their game.

However, the volatility of the insurance market in India is high, so you must go for the product, not the company while choosing to buy insurance. You can compare the plans provided by these companies and choose the one that suits your requirements the best.

Do I Really need Motor Insurance?

According to the Supreme Court Committee on Road Safety, in 2017, about1.4 lakh people died in road accidents in India. This is quite a shocking statistic. It is also a key reason why a motor insurance policy is mandatory when…

One can get Loans from Life Insurance Policies

• Granting Loans Loans may be granted under most of life insurance policies. For loan, a policy need not be a compulsorily in – force for full sum assured. Rules regarding permissibility of loan vary from insurer to insurer. However,…

What is ‘Assignment’ of Life Insurance Policy?

‘Assignment’ of life insurance policy means transferring the policyholder’s rights to someone else. Only the policyholder who had the right or title to the policy can make assignment. The person who makes assignment is called ‘assignor’ and the one to…

Popular Life Insurance Plans

Popular Life Insurance Plans are given below : 1.Term Assurance Plans This is the cheapest form of life insurance. The sum assured is payable only on death during the policy term. No death then no payment. Available variants of term…

Basic Elements and Features of Life Insurance

Basic Elements of Life Insurance Primary purpose of Life Insurance is to give financial protection against : 1. Risk of an early death and 2. Risk of living too long Therefore, all Life Insurance products has two basic elements :…

Secure Your Family’s Future With Term Insurance

Secure Your Family’s Future With Term Insurance To see the smiles on the faces of our loved ones by providing them with the things they need, we work so hard every day. With this, also the thought of the uncertainties…

Importance of an Insurance for an Individual

We always wants to secure our lives by earning money, because money gives us power to purchase goods and services. In good time we never think about financial loss. Financial loss may occur any time without giving us notice of…

Fire Insurance Basic Principles & Add On Covers

Fire insurance business has been defined in Section 2 of the Insurance Act, 1938.The subject matter of fire insurance may be any kind of moveable and immovable property having pecuniary value. Fire insurance contracts are governed by the general law…