The Importance of Insurance Planning

When leading a life that is full of activity, it may seem easy to overlook insurance planning because you are busy with other things. These other things can make insurance seem like a lower priority. Insurance planning, however, is a vitally important step in securing your present and your future while allowing you to stay focused on all the activities that are important to you.

Insurance Provides Security to Those Who Matter Most

By providing financial recompense for damages to property, insurance helps ensure that a family remains financially secure well into the future. Without insurance an individual would have to take from his own savings in order to make himself whole after an insurable incident. While he may be making himself whole in terms of property, he would be creating a financial hole by draining his savings account or increasing his debt.

Insurance is Perfect for Emergency Planning

Insurance provides an affordable means to plan for emergencies. Without insurance backing an individual during an emergency, one would have to save a lot of money just to repair or replace everything that could be damaged in a flood, hurricane, fire, theft or other peril.

Insurance can also provide a loss use benefit which creates a backup plan for operating a business, and driving or housing a family after an emergency. Without this assistance, it would be very difficult and expensive to provide these short term replacements.

Insurance Ensures Good Karma

Liability insurance coverage allows one to make good on hospital bills and lost wages that she may have caused another person accidentally. No one wants to hurt another through a car accident, fire, or other unexpected incident but if it happens it feels good to know that the injured individual can recover from those financial damages as quickly as possible. Without liability insurance coverage one might not be able to make good on liabilities on her own.

Insurance Provides Support for Heirs

A life insurance policy can ensure that heirs have a means of replacing a decedent’s income after they have gone. If you leave loved ones without the resources of a life insurance death benefit means that they have to scramble to afford all the same bills but on less income. This can not only force them to significantly change their way of life now, but can also hamper their ability to achieve their dreams of college and retirement.

Insight on Term Insurance Plans

In today’s age, people always want to secure the financial future of the family, so they can lead a decent lifestyle even after their unfortunate demise. Term plan is the answer to secure your family against financial hardship, when you are not around. Buying a term insurance policy provides a sum insured to the nominee/beneficiary, in the event of death of the life insured.

Benefits/Advantages of buying a term plan

Death Cover: Term plans provide pure life cover and it becomes a must buy, if you are the only wage earning member in the family. In case of your untimely death, it pays an amount equivalent to the sum insured to the family, so their finances are not affected.

Fulfill Financial Objectives: In case of untimely death of the life insured, a one time lump sum payout equal to the sum assured helps accomplish major financial goals like child education and marriage. The payout from a term insurance plan also helps pay off debts such as home loan or car loan.

Ensures Regular Income: Some term plans are available with lump sum payout plus monthly income to the family, when you are not around. These types of term plans help your family meet the regular expenses with ease.

Attains Maturity Amount: Typically, term plans do not offer any maturity benefit, but TROP plans offer the maturity benefit, and thus, returns the paid premiums at the maturity of the policy, provided the insured survives through the policy term.

Opt for Additional Coverage: You also have the option to choose riders with a term plan. Riders such as Accidental Death Benefit, Disability rider, Critical Illness, and Income benefit Rider help enhance protection to your base policy.

Major factors to consider before buying a term plan Want to buy a right term plan that can ensure the financial well-being of the family? Following are the key aspects you should consider prior buying the plan.

Adequate Cover: Choosing a right cover amount ensures that your family gets the payout that can cover day-to-day and other major expenses like children’s education/marriage, paying off debts, etc. Buying a plan with an inadequate cover is of no importance.

Policy Tenure: It is advisable to choose a policy tenure, so you can pay off all major financial liabilities. Avoid choosing a shorter policy that may end up when cover is required the most. It’s best to opt for a policy that offers flexible tenure options, so you can choose tenure depending on your protection needs.

Consider Inflation: When looking to buy a term plan, it is advisable to make an estimate about the inflation and then get a life cover that can easily cover your family’s financial expenses at a time say 20 years from now. You may consider the inflation rate while picking the sum assured for the policy.

Claim Settlement Ratio: Claim Settlement Ratio gives you an idea for the number of claims settled by an insurer. Higher ratio signifies that the insurer is reliable, when it comes to settlement of claims. It is thus advisable to choose an insurer that has the highest claim settlement ratio.

Choose Riders: When it comes ensuring financial protection for the family, you never want to compromise it in any manner. Choosing right riders with the term plan always boost protection. Riders help enhance protection, provided you have opted for the most appropriate rider/s. Riders are available on payment of additional premium, so choose it wisely.

Read Policy Terms: It is advisable to go through the policy benefits & inclusions and term & conditions, so you can assess the suitability of the plan for your family. Choosing the right term insurance plan would help build a secure financial future of your family.

Compare Plans Online: Prior buying a term plan, it is essential to compare plans from several insurers. Comparing plans online provide you an option to explore various term plans & its benefits. It helps you figure out a plan that would be the best fit. Insurance comparison portals such as http://www.comparepolicy.com helps you make an easy comparison. You can also buy it from there with huge discounts.

Assess your protection needs, choose a term plan and invest with the right insurer is the key. Insure your life and ensure your family’s protection.

Family Insurance Plans

There are many important factors to remember when deciding on family health insurance plans. You need to find affordable plans, but you still want enough coverage to keep the health of your family safe when an unfortunate event occurs.

Here are some of the aspects to keep in mind when searching for the best insurance plans:

Deductible:

This either makes for an affordable plan, or one that breaks the bank. Try to find a plan with a deductible of $500 or less. Deductibles can get confusing, especially when the insurance covers an entire family, so make sure you understand exactly how much the deductible is before selecting the plan that’s right for you. It’s always a good idea to understand how much out of pocket expenses you will encounter so you can plan accordingly.

Coverage:

You’ll of course want to make sure all plans encompass all of the health issues that may arise. Remember that unexpected events can occur to any family, and it’s best to always be prepared appropriately. For families that travel routinely, you’ll want to make sure your plan will cover you when away from your primary place of residence.

Premiums:

There are several things you can do to keep monthly premiums at a low for your family. Always encourage your family to live a healthy lifestyle. Eating healthy, wearing seatbelts, exercising all can keep you away from the doctor, and from paying high insurance premiums. Ask how pre existing conditions will affect your premium before purchasing insurance.

Doctor Network:

What good are family health insurance plans if you can’t find a local doctor who accepts your insurance? Make sure there are several local doctors in your network. Some doctors will allow patients to only co-pay at the time of your initial visit, while others will make you pay for the treatment and submit the bill to the insurance company for reimbursement. Be sure you know your insurance’s policy on this.

Customer Service:

There is nothing more frustrating than having to deal with poor customer service from your insurance provider, especially when something traumatic has happened to a family member. Many insurance companies are outsourcing their customer service for family health insurance plans overseas to save money on overhead. Ensure your insurance company is not one of them.

Choosing the best health insurance is an important step in making sure your family stays safe. Make sure to evaluate all of the information wisely, then choose the best plan for you and your family. We encourage you to contact us for any questions you have; we want to make sure you have the best insurance to keep your family safe.