|Insurance Buying Tips #1: Shop smart|
|When looking for insurance, your No. 1 priority should be to find adequate coverage. Price is important, but you’ll want to determine what kind of coverage you need first. Then you can fit that coverage into your budget and determine which carrier can provide you with the most comprehensive policy for your situation. You may be tempted to choose insurance with the lowest price tag, but if you don’t have enough coverage (or the right kind of coverage), you will see less financial benefit when it comes time to file a claim.|
|Insurance Buying Tips #2: Look for discounts|
|Once you evaluate your coverage needs, factor in your budget and find ways to save. Ask your insurance agent if there are any discounts on your coverage. Often, carriers offer discounts for things like paying your policy in full, staying auto accident-free or, if you’re in school, getting good grades. You also can save money by “bundling” multiple policies, such as purchasing a home and auto policy from the same carrier.|
|Insurance Buying Tips #3: Fill in the gaps|
|An average policy will cover the basics, but you may need to add extra coverage to meet your unique needs. For instance, you may have items like electronics or a nice piece of jewelry that would be financially difficult to replace, even with the assistance of your average renters or homeowners policy. You may want to add additional coverage for these items.|
Personal Accident Insurance is a low- premium personal accident policy. Some insurance providers tag it with a life insurance policy and others with a car insurance policy. Banks sell it happily if you get a credit card. And if you are price conscious, PSU insurance companies sell with the best value. A Rs.5 lakh death and disability cover from a PSU insurance company costs you Rs. 985 against the same plan from a private service provider for Rs.1,500. Moreover, PSU service provider offers better customization, allowing you the liberty or alternatives and deductibles. Comparatively, PSUs are, thus, preferable.
Why to buy Personal Accident Insurance
Always buy an insurance cover equivalent of an amount that in the event of any eventuality, your insurance claim should be compensating you more or less that may accrue to you.
A life insurance policy offers a lump sum on the death of the policy holder; a medical policy pays the hospital bill in case the policy holder gets injured. But what if a mishap results in disability and impacts the individual's earning capacity – due to permanent or temporary disability (3-4 months), or say total or partial disability for whole life: here the importance of personal accident policy can be felt. And if the insurer had opted, the plan will also entertain claim towards the medical expenses defrayed resulting from the accident.
Personal Accident Insurance a Very Cheap Option
|Insurance Buying Tips #4: Purchase life insurance—you aren’t too young|
|Life insurance is essential, no matter how young or old you are. And for millennials, buying now may be a smart move because it’s cheaper to buy a life insurance policy when you’re young and healthy. This kind of insurance can help your family cover unexpected costs in your absence, including student loan debt or a mortgage, in addition to end-of-life costs. And if you have kids, a life insurance policy can also support their education or childcare expenses. Additionally, every millennial should consider long-term disability coverage, which helps you stay afloat financially if an accident happens and you become disabled and unable to work.|
|Insurance Buying Tips #5: Talk to an independent agent|
|An independent insurance agent is an essential resource when purchasing insurance—especially if this is your first time. An independent agent works with multiple different carriers, which is different from captive agents who can only sell insurance from the carrier they work for. Working with an independent agent can help make sure that you are getting the best coverage, for the best price. You’ll also benefit from independent agents’ insurance knowledge; they know how to talk you through your options and actually explain what each policy includes. An independent agent will make sure all of your assets are covered, help you find discounts or other ways to save, and be a valuable resource as your life changes and your insurance needs change, too.|
|Insurance Buying Tips #6: Only buy insurance to maintain your existing standard of living|
|You don’t need insurance for events that won’t severely strain your finances. Start with your basic needs (home, auto, business), then work your way to include other needs (cyber, liability). You can always obtain coverage later for something if you change your mind. You can minimize your risk and maximize your savings by buying insurance that won’t cause you to break the bank.|
Approximately Rs.500 is the premium for a year for a cover of Rs.10 lakhs. Under it, coverage is offered for any type of accident – covers road accidents – slipping down from the stairs, fall from a height, breaking an ankle, hip, bone during sports, suffering from burns cooking, or getting electrocuted by an electric gadget, etc. A comprehensive plan offers cover to policyholder vis-a-vis all such eventualities. If the insured buys a cover against disability, the premium will be a bit higher but the benefit will be manifold by way of a cover for any kind of disability.
Personal Accident Insurance Claim
There can be instances when your claim from your insurer may be minimal and you decide not to claim from your insurer about the cover, so as not to lose vis-a-vis NCB (NON-CLAIM BONUS), inter-alia, you can exploit a provision from the other party. If the other driver is to blame, you can pursue him for your following uninsured losses:
(a) the expenses you have to pay more than allowed to you for repairs
(b) loss in value of your car
(c) loss in income
(d) the cost of transport till your car is not road-worthy
(e) loss in income
(f) loss in value of your car
You can immediately start by writing to the other driver about your uninsured losses, asking him to forward your claim to his insurer.
If the driver does not co-operate, you approach the court.
Personal injury claims
It is always advisable to go in for legal advice when personal injury element is involved to the claim, meaning that efforts in such cases should be to arrive at an amicable settlement with the other driver or his insurer before deciding to take up with the court.
Make a record of all evidence to show that you tried to mutually solve the matter before being compelled to approach the court.
Keeping your Insurer Informed
Keep informed your insurer by way of a letter giving a resume of the accident. Make it very clear that it is for information only and that you don't have to submit the claim to your insurer. This would ensure that your insurers will not settle your claim with the other party.
|Insurance Buying Tips #7: Ask your insurance provider what the policy doesn’t cover|
|Every insurance policy has perils that are not covered by your policy. These perils are referred to as “exclusions”, and every policy has them. Ask your insurance provider to explain the exclusions in your policy to avoid discovering what they are once you incur damages or a loss.|
|Insurance Buying Tips #8: Consider bundling several policies with one insurance carrier|
|here may be value in bundling several policies with one insurance carrier. If you’re looking to insure multiple vehicles or obtain multiple types of business coverage (e.g., liability, property, cyber), then you may want to consider obtaining coverages under one insurance provider who carries multiple products, and who may be able to offer you multi-policy discounts or loyalty programs.|
|Insurance Buying Tips #9: Review your insurance needs on a yearly basis|
|As your needs evolve, so will your insurance policy. Maybe you’ve acquired a new vehicle since obtaining auto insurance for your primary vehicle, or started operating your business out of your home, or experienced a cyber-attack during the year… Whatever the change(s), you’ll want to make sure you’re covered for any new risk exposures. Talk to your insurance provider to stay on top of your insurance needs.|