Investment & Insurance (A Balancing Act)

INVESTMENT can only help you to Achieve all your Financial Goals ON Time

& 

INSURANCE can only ensure, any incident do not obstruct  them at ANY Time

These above wordings make everything very much clear what it exactly means... And rest Denotes in the Picture below...

Fig :1.0 (Non Believer of Insurance Product) Mr Wise.

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Fig : 2 (Non Believer of  Investment  Product) Mr Hardwork

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Happy MAN... (BELIEVER IN BOTH) Mr  SMART.

Mr SMART a HAPPY MAN...

HAVE SOME FUN...! & A LESSON..

Dear Friends,

There should be some fun always, in what ever we do.. Then... WHY NOT On Our BLOG...?

Fun means to do and experience something Different.. thing to be experience "ALAG" from routine course of action which delivers what we are into too and  etc etc.. and lots of other things... 

So that what we are doing here by saying LETS HAVE SOME FUN....!

Really Don't be an IDIOT...? But there is no HARM becoming SUCH and IDIOT even....!

Start Video now and keep reading below as you need to State your experience by sharing your comments as per below points.

Remember...   every one have to share your comments for this post for sure.. and in this below order.. 

1) Best Scene / Situation : Thing which made you Laugh Like anything...?

2) Best Dialogue : The fundoooooooooooo statement.... ?

3) Mantra Taken From this Video: Lesson which you learnt....?

4) The ? you Have In your Mind Now: Thing which you want to know now....?

5) Your (Name: Place) : Smile's   ;-))

Guys.. Every FUN is Half and Unless and Until We share our experience with others.. It not enjoyed... hence you need to do this... in this order only...

Thanks & Regards…

Guys.. the main motive of posting this video on our blog is just to remove the negativity from minds of people regarding the investment option people hesitate to try and spread message of early saving in minds of YoUng’S

We Sincerely, Thanks & Appreciate IDFC initiative they have taken by this wonderful video.. and have shared it...

We are sure If you have listen to this video careful you will have lots to write in each of the points in all the 5 topics except fifth one, but still share the best you love.. and Mention WHY?

"Must 5" Insurance Policy (Do You Have Them)

According to study and based on certain statics, Actually there are 7 types of Insurance Policy which one take in its life span, which are as per their needs and even changes them accordingly the need changes.  But as we are limited to (HEALTH & LIFE INSURANCE) We will let you know the basic "5 Insurance Policy One Must Have" or are taken by the people, which are related to Health and Life.

6 Stage of Financial Planning (Click Pic to view enlarge size) 

As discussed in our  What is Financial Planning section where we have already explained all the decision in ones life are based on the different stage of the life he / she is. Similarly with these Stages we will have some recommendation on buying the Insurance Policy.

Below recommendation are taken into consideration for common and middle class people which will meet requirement of maximum.

1) Term Insurance : As financial guide will recommend every young person to have Term Insurance of 30 Lakh. (Figure of 30 Lakh is considered with respect to middle class people) although people must decided  on the sum assurance based on your need. Term Insurance are generally available up till age of 60 to 65 maximum. But as there are no returns after policy term ends some people do not prefer it. (However we donot agree on this point of not getting Life Insurance, as these come at very nominal price these days at younger age)

2) Health Insurance: 18 is the age when child is consider as adult, but when it comes to insurance and specially HEALTH INSURANCE things are different. Different company have different different criteria, which range from (21 to 25). Considering after age 25 where an adult young now is no more part of Family Health Insurance, One must opt for proper Individual Health Insurance as soon as possible

"Above are the two types of policy which must be taken by person 'before or by' He/She enters in STAGE ONE and which changes accordingly as per the need and requirements."

2A) Family Health Insurance: As Soon as person enters a married life one should first opt of this policy by switch over to Family Floater Plan from Individual Plan  and adding the Children's accordingly later on. (Remember Consider buying this policy keeping in life long renewal and many more things explained)

3) Whole Life Insurance: Many of the people do not advocate this policy or rather there is lots and lots of negativity by certain section of people, Guys, If you believe us we say there cannot be any thing better than this policy. We rate this in parallel to Term Insurance and will recommended every person to have this policy in their Insurance Portfolio. Infact we highly recommend this policy to for our most of the Male member who are the primary the bread earner of the family (WLP = Means Insurance Plan which extends after age 60 to 75 or save even 100)

4) Endowment Policy: Again it is noted that one does buy at-least one of these plan keeping the goal of the plan which is wants to achieve. (Majority of Money Back Plan, Guaranteed Money Back Plan, Retirement Insurance Plan, Joint Life Insurance Plan, Child Education Plan are nothing but, Endowment Insurance Plan).  Which give Guaranteed plus  extra Bonus which exist at time of maturity term and These plan are generally designed and are taken as an alternative of Saving Tax U/S 80-C

5) ULIP Policy: Majority of CHILD Plan are Unit Link Insurance Plan and are preffered by many, equally some people keep them distance from this plan as portion of investment in them is linked with market, Again these plan also have both the benefits where investment gets tax exempt U/S 80-C and Returns are also tax exempt U/S 10/10/D.

Guys, Insurance Planning is A very well calculated step in financial planning which help person to determine what should be the maximum and minimum investment he/she should make in insurance. So that person can invest properly in the pure Investment Field. which helps people to meet their financial goals 

 "PROPER & HEALTHY INSURANCE PLANNING IS COMPLETED BY/Before (AGE 35 /STAGE III)"

Do Consult a professional Financial Planner who can guide you with proper product which are available in the industry and will suit your need as Insurance Planning play major role in financial planning.

What is PORTABILITY (Health Insurance)

TWO REASON TO POST THIS ON THIS TOPIC

1.  Recently (in Jan 2013) there were news reported that there will be 20 to 30% of increase in premium, and will be done by all the PSU Health Insurance Service provider. This will lead to people opting for this facility, as premium is criteria on which majority of people buy insurance rather than the service provided.

2.  Although above may happen or not, or whenever it may happen.. Many of the people are not aware about this facility availability and there is lot to be educated in this matter before we opt for this facility. Here we are going to specific on this point only with respect to Health Insurance and not other Insurance. The motive of this post is to give you overview on how things work and give you basic understanding and guidance on this topic & how to proceed and why and when to proceed. As today it might be case of PSU Insurance companies tomorrow it might be of other insurance companies too.

(Note: Do take advice from professional if you are not comfortable in understanding this )

Portability: Word itself defines what it is… Many of you might have used this service in telecom sector. Same implies here too. What does it actually states in respect to health  insurance  is this…

“Portabiity means the right accorded to an individual health insurance policyholder (including family cover) to transfer the credit gained by the insured for pre-existing conditions and time bound exclusions if the policyholder chooses to switch from one insurer to another insurer of from one plan to another plan of the same insurer, provided the previous policy has been maintained without any break.”

YES HEALTH INSURANCE HAS PORTABILITY and one must be exited to know on this completely as it may help you any time. 9th September 2011 is the date on which IRDA (Insurance Regulatory Development Authority)  have given guidelines and which was introduce this service feature on 1st October 2011, which we feel is a welcome step and must be highly appreciated by everyone, As this brings indirect pressure on companies to maintain and achieve good level of service they provide while issuing mediclaim policy they are authorized to give with the terms and condition they maintain.

In recent past when an Health Insurance company increased it premium rate suddenly, many of the people did use this option later on after it was introduce, However we do not recommend to use this feature just because premium of one company is less than what you have. We strongly advocate to look at overall features, and consider all the aspect of portability and service you will get in return before opting for this option.

Obviously this is a tool which one should not hesitate to use if you are getting good benefits without effecting the existing services you have got or are not satisfied with the your insurance company service policy condition.

Couple of points for reference and to be made a note of for getting basic requirement and understanding on it (There is lots to know in detail on this, do contact us if you wish to know more on it)

1)  Applicable to only Health Insurance Policy issued by Non-Life Insurance Policy (Life Insurance companies Health Insurance is not included)

2) Process need to be initiated 45 days before the premium renewal date, so that smooth transfer is processed (Although New Company can accept it even 7 days before.. That differs from company to company and by case to case basis. )

3) Applicable to only Individual and Family Floater Insurance Policy. (others policy are not covered)

4) Maximum time New Insurance Company can ask for more information from you incase no information received from other source is 7 working days.

5) Maximum time New Insurance Company can take to know its decision of not accepting the policy is 15 working days. After which they have to accept the policy if all details are provided.

6) Now the Most IMPORTANT QUESTION.. What if New Company does not accepts my proposal.? Will or CAN An Old Company Deny to renew the existing policy.

Not a worry, Guidelines clearly states in point 3.3.4 “if for any reason the insured intends to continue the policy further with the existing insurer, it shall be allowed to continue by charging a regular premium and without imposing any new condition.”

7) Last but not the least always check for the accrue benefits are stayed intact which your new policy issued by the new company which you have accumulated over the period of time on your old policy this is one of the key point which must be noted before switching.

Many of the company do not consider the benefits accumulated also note the premium will charged as per their company policy which they charge to other and not your existing one which do differ from company to company. Take your decision which suits you best.

HOW TO PROCEED FOR PORTABILITY IN HEALTH INSURANCE

It as simple as usual process like applying for a fresh policy in a company of your choice, You just have to attach a Portability Form and the details of the past policy history which you have maintained proving that there is no break in the previous policy and other information which new company may ask for while you are looking for portability from other company.

Generally it is seen it will give benefits to younger group of people below the age of 45 to 50 but again, things may and can differ from case to case.

Thanks for understanding. Do post your comments and Question for any details you may require.

Insurance Consultancy (New Chapter)

It is quite a new chapter in field of Consultancy and is similar just like any other consultancy service which have already begin in India, although it is just beginning and while comparing it with rest of the World Market. which is quite existing, developed, known and in demand, where it is just flourishing and rising in India. Let us keep focused with our country and for that understanding the need of today's India is important and equally how it can benefit us which is explained below

Understanding Need & Benefits for Insurance Consultancy:

As known, Insurance is basically divided into two section Life & General Insurance, where Health Insurance is one of the categories other than Marine, Vehicle, Home, Business etc and is part of General Insurance. Both LIFE and GENERAL section has their own segment and have their own importance and demand.  India's growing demand in this category have made really big industry houses to launch their services into this field.. As a result good number of companies have already launched them, "Religare & L&T" are the latest among new players into this section, and still there are many more to come as per the information available.

New Launch and growing number of companies rising like this is generating huge level of competition, which is helping consumer to get improved and quality of service then before, however has also made more difficult for person to choose this product.  More over Insurance is always considered as too complex product to understand which is day by day becoming more and more necessary in one’s life in India.

Consultancy service demand was never seen or its demand was in unearthed state, as this service was provided by the particular company’s agents first and now a day’s technology helped to make relevant information available online and did gave comparison option of support required. But still complexity of this product and required satisfaction was a miss and this is what, which have given rise to Insurance Consultancy?

Think of a situation where your loved ones has urgent need of hospitalization and you cannot get the cashless network hospital, just because you choose wrong company which do not have cashless facility in hospital in your nearby area. OR Due to delay in approval in cashless claim, you are required to pay money upfront for getting treatment started, even though you have cashless facilities available in that hospital. Remember “The latest Health Insurance Company to be Launched and seen is L&T whose advertisement say they respond with 6 hour of your request raised” or say in "Apollo Munich advertisement where we see Ganguly making statement we pay all genuine claim"  etc etc Here we see company make service feature as USP. (We do not endorse them with this statement, or put them in front of all the others at all, as there are many company which do response similarly.) But by this, what we are trying to bring your attention why Insurance Consultancy is required or is beneficial and upto what kind of service provided which are generally not know by many and cannot be known online...

Many of us prefer online buying of insurance which have become quite convenient these days and is good even that it saves some of our money and has its own pros and cons, but what majority of us lack is  the knowledge required to purchase online. Let us take the above example once again and compare it, Suppose you took health insurance just by comparing online without checking this ten points and choose the lowest premium one. And you face the above situation wont you regret your decision. Rather you will be frustrated like anything and will curse the company seeing delay in getting the services.

Same thing in regards to Life Insurance, Here the complexity of product is equal to Health Insurance, but its impact is more bad. For Health Insurance you do have option of portability to rectify the mistake you have made but there are no such option in Life Insurance. You have to stick to what you have taken. You will than look for buying one more new policy and will surrender the old policy taken etc etc... Even the feedback says, The major reason of dissatisfaction in Life Insurance is just because of wrong decision taken without doing proper Need Analysis or say misguided by some people.

Hence we recommend always have a proper analysis done and proceed as per your NEED.

It is always beneficial to get the Insurance Consultancy done by professional, Check how to buy Health Insurance and Life Insurance which will clearly demonstrate the level of complexity to consider, not all the people have this proficiency and are not even aware on how to proceed, but we hope once you are aware you still will save your self and other them from taking a wrong decision.

Remember one single, bad or emotional decision which are usually taken by many while considering LIFE & HEALTH Insurance in particular Will impact too much on your financial goals.