Money and Life

This article explains about insurance brokers who play an important role in the insurance industry. Also, how are insurance brokers different from insurance agents. An insurance broker helps you save time while buying  insurance products  Who are Insurance Brokers When Rohit was asked by his broker to pay a brokerage, the latter was zapped. Rohit had heard somewhere that you aren't supposed to pay any commission to any broker, but he wasn't sure though. One day, he decided to check with Mohan, his colleague who dabbled in insurance. This is what Mohan told Rohit. Insurance brokers help you buy insurance policies. They represent insurance companies and are paid brokerage by the companies whose policies you buy. No customer is required to pay any commission or brokerage to his insurance broker. Also, read - Who regulates insurance companies ? Having an insurance broker around helps you save time and energy. He has all the right information about the various insura...

This article tells you about who regulates the insurance industry and its various companies. Deepak was a very frustrated man these days. He had just been cheated by a person claiming to be a representative of an insurance company. Deepak did not know what to do; all his requests to the company were turned down by the latter. He wondered whether the insurance industry in India was regulated or not. In India, all the insurance companies are regulated by a body called the Insurance Regulation and Development Authority of India. The IRDA has been set up by an Act of Parliament and as such is a neutral and autonomous body. It was set up in 199 and its headquarters are in Hyderabad. The IRDA is a 10-member body including the Chairman. There are 5 permanent and non-permanent members each in this body. It oversees all the matters related to : 1. Life Insurance 2. General Insurance 3. Reinsurance 4. Health Insurance The main responsibilities of the IRDA  are : Issuing, mod...

Learn how to buy motor insurance online. Here are the four factors that will help you choose the best insurance for your vehicle. What is motor insurance? Motor or car insurance is an insurance type, which efficiently takes care of all kinds of costs arising out of accidents, thefts, injuries arising due to accidents and third-party liabilities. When you buy car insurance, you are covering yourself against any financial liabilities that occur due to the above mentioned unfortunate accidents. Please note that motor insurance policies vary according to the policies of the individual states as well as those of the insuring companies. Is motor insurance mandatory? Yes, buying a car insurance policy is necessary. If you don’t get your car insured, you might get into legal troubles and reimbursements for any damages caused to the vehicle get difficult. [2]   Buying motor insurance online It is now very easy to check the policies of various insurance companies onl...

Find out which is the best life insurance plan in India? Reema wanted to buy the best life insurance plan but was thoroughly confused; she had so many plans to choose from. Her mailbox was overflowing with so many and different offers from various insurance companies! If you are in the same situation as Reema, please read this article. Which is the best life insurance plan in India? There is no correct answer to this question. Since every person has unique needs, he will opt for a plan that meets them. Nevertheless, lets' look at some factors that can make your policy the best life insurance plan. 1. Affordability If you can afford your plan during its entire duration, then it makes it the best possible plan. Let's understand this in detail. Let's assume you buy a term plan for 20 years. The premium payable is Rs. 15,000/- annually. Now can. you pay this premium regularly without fail for all those 20 years? If yes, then go in for this plan. Your ...

This blog post explains why is insurance important. Image Credits- Pexel.com Ah, I do need insurance at all, Ketaki said to her dad. After all, I am young, healthy and earning decently, so why I should I go in for insurance.  Mr. Mathur heard her patiently and then explained why Ketaki needed an insurance policy.  Also, Read- How to buy car insurance online  There are three main reasons why insurance is important. 1. If you have a motor vehicle then it is mandatory to have an auto insurance policy. According to the Motor Vehicles Act, any person who owns and drives a motorized vehicle is required by law to have an auto- insurance policy. Motor Vehicle Act-   http://chdtransport.gov.in/Forms/MVA1988.pdf Since there are two kinds of auto-insurance plans, you may like to know which one is better for you. The first plan is Third Party Liability Plan. This one takes care of the damages to the life and property of the third party in the event of an...

This article answers the question of whether insurance is investment or not. Mohit was on cloud nine that he had finally got his dream job. He had spent several years studying engineering and wanted to get this job in a blue chip company. Finally, the D-Day had arrived; on the 30th of that month, Mohit got an SMS informing him that his salary had been credited to his bank account.  When Mohit’s father first heard this news, he had just one piece of advice for his son- buy a life insurance plan from your first salary. During the first five minutes of the conversation that Mohit  had with his papa, the former understood perfectly why insurance is like an investment and not a costly activity. It was clear to him that by buying a plan, his wealth doesn’t necessarily multiply but he could still save a lot of his income by way of several   Income Tax schemes available for policyholders. By buying an insurance plan, Mohit would be securing the future o...

Some websites provide basic information about the various insurance policies of different companies. These websites are called insurance aggregators.  It was a moment of great relief for Shikha when she found out a website that had lots of information about insurance policies, premia, inclusions, and exclusions, etc from several different insurers. She was basically looking at an insurance aggregator. A lot of you would have visited websites that contain several bits and pieces of information related to insurance. These websites are useful because they give us a general idea about the various products available in the market at a given time. You can compare one product with another and ultimately decide which one is better for you. An insurance aggregating website just conveys you some basic information about the various policies available and nothing else. It is an information funnel and not a booking medium. So how does an insurance aggregator website work? 1. Fir...

This article will help you buy insurance online. Mohit was a busy man these days. He worked as a sales manager in his firm and his job demanded that he travel most of the time. Mohit was most of the time visiting his clients within or out of the city. He had very little time for his friends, family or even for buying insurance. One day, Mohit met his friend and insurance advisor, Rajiv who told him about buying insurance online. Next day, Mohit logged in his computer and finally purchased his policy. He followed these steps to buy his insurance policy online: 1. Visit Insurance aggregator websites The first step he did was visit several insurance aggregator websites. There, he checked the various insurance plans available and picked one that was suitable to him. Also, read - What are insurance aggregator websites?  2. Check that plan with the insurer Next, he cross-checked with the insurer about the accuracy of the plan. Mohit called up the help desk of the insuri...

This article will explain to you the fundamentals of life insurance. There are two kinds of life insurance: 1. Term Insurance Plans 2. Whole Life Insurance Plans Rajesh wanted to buy life insurance but was too confused about the subject. He was getting so many calls from various brokers that he simply did not know what to do. Life insurance protects your family from financial distress after your death.   When you buy a life insurance policy, you are extending a financial cover to your dependents. This cover takes care of their financial needs after you are gone. The person who buys a life insurance policy is called a policyholder . He buys a policy after paying a certain premium from either an insurance broker  or an insuring company like the Life Insurance Corporation of India. A policyholder nominates a few or all his dependants as beneficiaries . These dependants could be his/ her spouse, children or aged parents. There are two kinds of insurance polic...

This article explains what is insurance and how does it benefit you. Reema had landed her first job recently and was looking for having some fun on a weekend. On one Saturday, she and her family members decided to have a small party at their house. Over a hearty dinner, Reema's father asked her,'Reema, have you thought of buying an insurance cover?' Reema replied,'Dad, I don't know a thing about insurance. Can you tell me something about it?' Over the next one hour, Dad explained Reema what insurance is. What is Insurance? Insurance is something that protects you or your family when you lose something. You could lose your life, assets, vehicle, house, health, etc.  Based on the kind of loss, there are broadly kinds of insurance. Which are those? Life Insurance When you buy life insurance, you cover your dependents financially after your death. This means that after the death of a policyholder, his/her dependants get a lump sum money fr...