In layman's terms, Insurance is a way to manage your risk of any type. As soon as you buy insurance, you buy protection against unexpected financial losses. The insurance company pays you or someone you choose as nominee, if something bad happens to you.
Following are some popular types of Insurance:
Tip: One should always try to have an emergency savings fund to cover the cost of any unexpected accident or incident.
What should you consider when buying an insurance policy?
A useful rule to live by is to do your homework before you buy insurance. Research any insurance company you’re thinking about buying from to be sure that the company is financially sound and provides good service. Also find out what factors matter so that you can get the coverage you need at the best price.
How does an insurance policy work?
Insurance policies are often in place for a specific period of time. This can be referred to as the policy term. At the end of that term, you need to renew the policy or buy a new one. When you buy an insurance policy, part of your responsibility includes paying a fee called a premium. Some premiums are paid monthly, like health insurance. Others may be paid once or twice a year, like auto or homeowner’s insurance. The cost of your premium generally depends on how much of a risk you are to the insurance company. In addition to the premiums, most insurance policies include a deductible. That’s the amount you have to pay first, before the insurance company pays their share. For example, if you have a 38000 INR deductible on your homeowner’s policy and a storm causes 228000 INR in damage, you will pay 38000 INR and your insurance company will pay 190000 INR. With some policies, you can choose your deductible. Usually, a higher deductible means a lower insurance premium
How does insurance reduce your financial risk?
Imagine you’re driving your car and you hit a deer, which damages your car. If you have the right kind of auto insurance policy, the insurance company will pay the costs of the car repairs (minus the deductible — the portion you have to pay). Now, imagine a water pipe bursts in your bathroom, ruining everything in that room and in the bedroom next to it. Typically, if you have homeowner’s or renter’s insurance, the insurance company will pay to replace some or all of the damaged property, once you pay your deductible. Insurance policies will only pay for things that are described in the policy. So, it’s important to read a policy carefully before you buy it, so you’ll know exactly what’s covered.
What are the Cheap and affordable health insurance?
Top 5 Cheap and best health insurance in India are:
- United India Insurance
- Star Health and Allied Insurance
- Tata AIG
- Reliance General Insurance
- Royal Sundaram General Insurance
What are the Top 3 Health insurance Companies?
Top 3 best complete Health insurance Companies:
- Bharti AXA General Insurance Company Ltd
- AEGON Life
- HDFC Ergo Health
- About the Company
- Why should you buy specially from them?
- Features, that are going to benefit you in long term
- Types of policies they provide.
- What all they Cover in their policies.
- What is excluded or not covered in the policy.
- Premium Calculation
- Documents required
- Steps to renew the policy
- Claim procedure, it should'nt be Hectic
What are the Factors to Consider When Choosing a Health Insurance Company?
Consider these factors for sure before enrolling into one. Detailed data can be found on each and every Sub-Insurance category.