Insurance: Make it a policy to know your policy

"Insurance" is the payment of a small predictable amount of money to protect against a larger unpredictable expense. The insurance Sector in India has come a full circle from being an open competitive market to nationalization and back to a liberalized market again.

To cater to different needs of a consumer, various types of insurance policies have been devised. They are primarily divided into :

●Life Insurance:

·         Term policy

·         Endowment policy

·         ULIP policy And many more

                

●General Insurance:

·         Motor Vehicle

·         Mediclaim

●  House insurance

●  Office furniture and equipments And many more

National consumer helpline issued some important advisories for consumers which need to follows to become a smart insurer. These are:

• Seek complete details of the policy from the agent before signing any proposal form. No blank form should be signed.
• Read carefully all terminology and terms and condition of the policy. You have the right to get it cancelled within 30 days of receipt of the policy in case of any unfavorable terms.
• Maintain carefully all the receipts issued by the insurance company.
• Pay the premium regularly and surrender your policy on time, Pay your premium at least for three years to avoid forfeiture of the policy. 
• Keep your spouse or nominee well informed about the policies taken and the procedure of filing the claim.
• Submit all required documents to the insurance company in case of any claim.
• Delay in change of address in case of existing policy.
• Delayed payment on “money back policy”.
• Match the term to your needs. Make sure your dependents are covered until they can provide for themselves, or that your spouse is covered until retirement income becomes available.
• Buy when you are healthy, and try to match your terms to when you will still be healthy. When you get into your 50s and 60s, it may be harder to find affordable term life insurance.
• Don't lie on your policy; as life insurance companies will investigate before paying. If you do not admit to a habit, behavior or health risk on your application, your beneficiaries may not receive the money after you pass away. That is the whole point of your life insurance policy, to leave money for those left behind, and it would be a shame if they didn't receive what you had paid for because you were not truthful on your application.
• Complaints could be got redressed through your Insurance Company, Insurance Ombudsman, IRDA.
  
  Competition amongst Insurance companies has resulted into many complaints from the consumers also. To redress these complaints Insurance Regulatory Development Authority which is the statutory authority has been exercising its powers to rein in the erring company. Keeping this in mind, an Insurance Ombudsman has also been instituted.
    
   
  NATIONAL CONSUMER HELP LINE
  
  
  
   
   Toll-Free Number:  1800-11-4000(MTNL/BSNL)
  011-27662955-58 (Other Service Providers,Normal Call Charges Applicable)