Life Insurance

Invest for a short period, then relax and watch your money grow with STPs!

abhishek — Mon, 30 Aug 2021 06:30:00 GMT

Invest for a short period, then relax and watch your money grow with STPs!

30-Aug-2021 30-Aug-2021'

Every individual engaged in business in India knows the value of making hay while the sun shines. They realise that investments should be made while the inflow of money is high. Those investments will one day come of use in a time of need, when the inflow of money is low or when business is badly affected due to factors beyond one’s control. In essence, they realise the value of short-term investments.

However, the advantages of short-term investments are not restricted to businessmen alone. Even salaried individuals can and should opt for Short-Term Plans, which have the ability to quietly keep vesting while you take care of your family’s expenses.

Short-Term Plans enable investors to start investing when they have little or no liabilities and then stop once loans and familial liabilities don’t allow much savings. What’s more, while traditional plans require you to continue investing for 20+ years, Short-Term Plans avoid this issue altogether.

Let’s understand more:

Short-Term Plans in brief

Short-Term Plans are investment instruments that allow you to invest for a short period (as low as 5 years) and then stop investing when your young family demands the lion’s share of your income. The money that you have invested keeps growing steadily and at maturity, you receive a lump sum that can be used for important milestones like a child’s higher education or marriage, to buy a new car, or even to plan a foreign vacation for the family.

A quick look at the benefits

Short-Term Plans are insurance products offered by all major insurance companies that you can opt for through OneInsure. Here are the benefits of Short-Term Plans:

Make hay while the sun shines! Short-Term Plans allow you to customize when you want to stop payments and when you want the vesting period to end. Since you can decide these right at the start, this gives you the flexibility to choose preferred terms keeping in mind your specific upcoming milestones and life events.
Great for Businesspeople – Although Short-Term Plans are a great financial tool for all Indian householders, they tend to be especially preferred by businesspeople because of the nature of their profession and large but inconsistent incomes that are not guaranteed in the long run.
Great goal-oriented investments – Because of the very nature of Short-Term Plans and the flexibility to choose the policy term at inception, they can be started with certain goals in mind. For example, you can start a Short-Term Plan with an annualized premium of Rs 1 lakh and a premium-payment term of 5 years and a policy term of 15 years when your child is 3 years old. This policy will pay out a good sum of money when your child will be 18 and has to choose a Professional Course after Junior College.
Tax benefits

Discuss Short-Term Plans with an expert:

M – 86559-86559
E – support@oneinsure.com

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Does your financial planning include Life Insurance?

abhishek — Tue, 24 Aug 2021 06:30:00 GMT

Does your financial planning include Life Insurance?

24-Aug-2021 24-Aug-2021'

abhishek

Many Indians still treat the topic of planning for one’s family’s finances in the case of their unfortunate demise a taboo subject. Planning for and discussing this topic makes us uncomfortable even today.

However, Life Insurance is one of the most crucial parts of the urban Indian’s financial planning. Having regular investments and a large bank balance is very good, but if you’re not around to bring in that monthly salary cheque, your family is sure to fall into poverty or at the very least be forced to heavily compromise on their lifestyle.

Wouldn’t you like to financially protect your loved ones in the event of your demise? Life Insurance protects your loved ones from the financial consequences of your demise. The amount your family receives from the insurance company can be used any way they like – to pay off any pending debts, take care of your child’s school or college fees, and so on. This makes Life Insurance a necessary component of any sound financial plan.

Disciplined savings

Besides being a protection tool, a Life Insurance policy helps you save in a disciplined manner. Investing in a Life Insurance policy inculcates the habit of savings, which forms the key to a successful financial plan. Make sure to pay your premiums on time and enjoy the creation of a good corpus.

Attain long-term goals

What are some of the long-term goals we plan out when we start earning?

Having a house in our name
Owning a car
Paying for our kid’s school and college fees
And many more

A life policy with an adequate cover will help you reach your long-term financial goals. Life insurers offer various kinds of plans that will help you reach a particular or several different financial goals when you opt for the right mix of insurance plans.

Tax-saving tool

One of the several benefits of opting for a Life Insurance plan is that you can claim tax benefits. Under section 80(C) of Income Tax Act, 1961, tax benefits can be claimed on the premium you pay towards your policy. The maximum deduction you can claim under this section is Rs 1,50,000. Additionally, the proceeds from the policy are also tax free under Section 10(10D) of the Income Tax Act, 1961.

When you make life insurance part of your financial planning, you are safeguarding the future of your loved ones. In other words, a financial plan is never complete if you don’t have life insurance! Note that life insurance comes in many shapes and forms, from term insurance to endowment plans and even short-term plans.

Discuss life insurance with a OneInsure expert by calling 86559-86559 or emailing us at support@oneinsure.com.

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Why salaried individuals should opt for Guaranteed Plans ASAP

abhishek — Sat, 21 Aug 2021 06:30:00 GMT

Why salaried individuals should opt for Guaranteed Plans ASAP

21-Aug-2021 21-Aug-2021'

abhishek

Guaranteed Return Plans combine the advantages of regular investments and steady returns with the safety net of life insurance. This unique combination is not present in other financial instruments.

But that isn’t all. Let’s see why guaranteed return plans are so suitable for salaried individuals and why investing in them early is crucial.

Financial stability a MUST in the post-COVID era

A financial portfolio that focuses heavily on equity investments has the potential to be disastrous in the future. Although the market may be doing well for now, history has shown that the market corrects sharply and without warning. When you need your money most, there is a good chance your equity investments will only disappoint.

You need Guaranteed Return Plans to bring balance to your portfolio. These plans have the following advantages, which are important for salaried individuals:

Irrespective of any major change in local, state, central government; global pandemics; or any other event, you are rest assured to get guaranteed returns
Inflation-beating returns
Not market-linked but guaranteed
Tax-free returns between 8% and 9% per annum (presuming 30% tax bracket)
Triple tax exemption benefit – premium-payment, accumulation, and withdrawal phase exemptions
Your life is covered while you are invested

The variety in Guaranteed Return Plans

Here are the different guaranteed return plan options:

Endowment plans
Money-back plans
Retirement or Pension plans
Child plans

Always remember to choose a guaranteed return plan considering your age, income, needs, dependencies, and future goals.

Why investing in these plans early is crucial

As with any investment that has a vesting period, the longer the insurer has your money, the better the returns will be due to the compounding effect. Even a delay of just 5 years means a difference of tens of lakhs of Rupees!

Illustration 1 – Vesting period of 30 years

30-year-old Ramesh starts investing Rs 5,000 monthly until his retirement at the age of 60. If we presume an average interest rate of 9%, he accrues Rs 92.2 lakhs at retirement.

Illustration 2 – Vesting period of 25 years

Ramesh’s friend, Suresh, decides to delay investing for 5 years and finally starts at the age of 35. He too invests Rs 5,000 monthly until his retirement at the age of 60. If we again presume an average interest rate of 9%, he accrues just Rs 56.5 lakhs at retirement.

This is a difference of nearly Rs 40 lakhs due to a delay of just 5 years!

To help you decide and select the best Guaranteed Return Plans, we have a dedicated team of financial experts just a phone call or email away. Do contact us at:

M – 86559-86559 | E – support@oneinsure.com

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There’s no “Later” once you’re gone! Fix errors that could lead to Claim rejection NOW

abhishek — Wed, 02 Jun 2021 06:30:00 GMT

There’s no “Later” once you’re gone! Fix errors that could lead to Claim rejection NOW

02-Jun-2021 02-Jun-2021'

abhishek

There’s no escaping it.

Even though we are in the year 2021 and medical science is supposed to be state-of-the-art, the reality is that over the last 18 months or so, mortality among humans has increased manyfold. While COVID continues to wreak havoc, it has increased mortality not just via the virus but with the stress and anguish that has accompanied it as well. Numbers from around the globe show the incidents of cardiovascular events (like heart attacks) and other stress-related events are on a sudden spike since early 2020.

In short, YOU NEVER KNOW.

So, if you own a life insurance policy, be sure you have not made one of the following errors, which could result in the claim being rejected by the insurance company after you have passed away.

Concealing important information

Concealing important information from your insurer while signing up for an insurance policy is a big no-no! You might be tempted to lie about your smoking or drinking habits or conceal the fact that you love adventure sports in order to pay lesser premiums. However, the devastating effects of this error may have to be borne by your family as the insurance company rejects the claim and all your financial planning becomes useless because of a small lie so many years ago.

You forgot to update the details of your nominee

Let's say your nominee is no more and you forgot to update the details of your new nominee with the insurance company. In such a scenario, the insurance proceeds or death benefit will be paid out to your legal heir. Also, remember that your last will and testament will supersede your nomination, so ensure that the former is in sync with the latter and the rightful nominee gets the benefits.

The ultimate objective of getting a life insurance policy is that the insured person’s dependents stand to receive financial assistance through the policy even in the absence of the family’s breadwinner. The policy brings peace of mind to the insured as well as his dependants, who know that they are not only financially secure, but they also won’t have to put an end to their aspirations and goals due to financial constraints no matter what.

For an instrument that is so vital in a person’s financial planning, it is always a good idea to be 100% sure there are no loopholes and the sum assured will be given to your appointed nominee without any hiccups if and when the time comes.

OneInsure's insurance experts would love to solve any of your insurance-related queries. Feel free to call 86559-86559 or email us at support@oneinsure.com.

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Love Your Family? Express It with a Short-Term Plan (Part 2)

abhishek — Tue, 20 Apr 2021 06:30:00 GMT

Love Your Family? Express It with a Short-Term Plan (Part 2)

20-Apr-2021 20-Apr-2021'

abhishek

It is typically at the age of 50 or 60 when the Indian householder realizes that he should have started investing earlier in life so that he could provide his family certain luxuries. Isn’t it unfortunate that such important realizations come only after it is too late to do anything about them?

Luckily for you, though, we are here to talk about how you can express your love for your family with timely Short-Term Plans that have the ability to quietly keep vesting while you take care of your family’s expenses! Let’s understand how these work in this article:

The Hows and Whats of Short-Term Plans

Benefits of Short-Term Plans

Short-Term Plans are insurance products offered by all major insurance companies that you can opt for through OneInsure. Here are the benefits of Short-Term Plans:

Make hay while the sun shines! Short-Term Plans allow you to customize when you want to stop payments (premium-payment term | PPT) and when you want the vesting period to end (policy term | PT). Since you can decide the premium-payment term and the policy term right at the start, this gives you the flexibility to choose preferred terms keeping in mind your specific upcoming milestones and life events.
Great for Businesspeople – Although Short-Term Plans are a great financial tool for all Indian householders, they tend to be especially preferred by businesspeople because of the nature of their profession and large but inconsistent incomes that are not guaranteed in the long run. Even if the business stops being highly profitable later in life, you can be rest assured since you have already started earning vesting benefits on your Short-Term Plan and you don’t have to keep making premium payments for years and years.
Great goal-oriented investments – Because of the very nature of Short-Term Plans and the flexibility to choose the policy term at inception, they can be started with certain goals in mind. For example, you can start a Short-Term Plan with an annualized premium of Rs 1 lakh and a PPT of 5 years and PT of 15 years when your child is 3 years old. This policy will pay out a good sum of money when your child will be 18 and has to choose a Professional Course after Junior College. Here, your child’s enrolment into a good University is the goal of the investment!
Tax benefits

So, here’s a simple way you can avoid being like the 50- or 60-something urban Indian who is looking at their investment behaviour with regret later in life. Short-Term Plans are ideal for you if your current expenses are less and savings are more AND if you are sure that your expenses will increase in the years to come.

M – 86559-86559
E – support@oneinsure.com

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There is a "Right Time" to buy Life Insurance!

abhishek — Fri, 19 Mar 2021 06:30:00 GMT

There is a "Right Time" to buy Life Insurance!

19-Mar-2021 19-Mar-2021'

abhishek

Yes, there is a right time to buy life insurance. Over the years, insurance experts have zeroed in on a simple rule of thumb:

The right time to buy life insurance is when there is a dependency on your income

Let’s run through a few common examples:

If you are above 30 with a wife and a young kid(s), you NEED to havelife insurance to take care of your wife and kid’s future in both your absence and presence. In such a case, having a term plan and child plan is a must!
If you are below 30 and single with a financial loan(s) and parents to take care of, you NEED to have life insurance so that even in your absence your loan(s) can be paid off and your parents are supported financially.In such a case, having a term plan would be wise.
If you are between 25 and 30 and single with no liabilities or dependencies, thenyou NEED NOT have life insurance, but since you do not have any liabilities, you can think of equity (moderate- to high-risk) investments that will help you build a corpus faster. Unit Linked Insurance Plans (ULIPs) are a good option because they give returns just as high as mutual funds but with many more benefits like lower fund-management charges, tax benefits, and life cover, among others.
If you are above 50 and coming close to retirement, then you NEED to have life insurance thatpays out monthly income during your retirement so that you do not have to be dependent on anyone.

It is important to understand that getting covered by life insurance must be a well-thought-out, well-calculated decision, so choose your plan(s) wisely, keeping in mind changing life stages. In case of queries, feel free to write to us at support@oneinsure.com or call 86559-86559.

Since there has been a lot of focus on term plans in this piece, let’s quickly see the three most important things to consider when buying a term insurance plan:

Is it covering your immediate loans and liabilities?
Is it covering your children’s primary and higher education?
Is it covering your household expenses like monthly bill of groceries, maid servants, driver, petrol, and so on?

Your term plan’s sum assured needs to cover the mentioned expenses. If it is doing so, you can relax – you are adequately covered. It’s really that simple!

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There’s No Financial Planning without Life Insurance!

abhishek — Sat, 16 Jan 2021 06:30:00 GMT

There’s No Financial Planning without Life Insurance!

16-Jan-2021 16-Jan-2021'

abhishek

A critical component of any financial plan is insurance, particularly life insurance. But what makes life insurance so important? Why do financial planners insist you have a life cover? In short, why is no financial planning complete without life insurance?

A subject that we tend to brush aside is death. Nobody likes to talk about it, nobody wants to think about it. But death is inevitable. Wouldn’t you like to protect your loved ones in the event of your demise? Of course you would, and that is why we have life insurance plans.

Life insurance protects your loved ones from the financial consequences of your demise. The amount your family receives from the insurance company can be used any way they like – to pay off any pending debts, pay for the funeral expenses, take care of your child’s school or college fees, and so on. This makes life insurance a necessary component of any sound financial plan.

Disciplined savings

Besides being a protection tool, a life insurance policy helps you save in a disciplined manner. Investing in a life insurance policy inculcates the habit of savings, which forms the key to a successful financial plan. Make sure to pay your premiums on time and enjoy the creation of a good corpus.

Attain long-term goals

What are some of the long-term goals we plan out when we start earning?

Having a house in our name
Owning a car
Paying for our kid’s school and college fees
And many more

Tax-saving tool

One of the several benefits of putting your money in a life insurance plan is that you can claim tax benefits. Under section 80(C) of Income Tax Act, 1961, tax benefits can be claimed on the premium you pay towards your policy. The maximum deduction you can claim under this section is Rs 1,50,000. Additionally, the proceeds from the policy are also tax deductible under Section 10(10D) of the Income Tax Act, 1961.

When you make life insurance part of your financial planning, you are safeguarding the future of your loved ones. In other words, a financial plan is never complete if you don’t have life insurance! Note that life insurance comes in many shapes and forms, from term insurance to endowment plans and even short-term plans.

Discuss life insurance with an expert
M – 86559-86559 | E – support@oneinsure.com

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IRDAI’s New Regulations – Life Insurance Receives Much-Needed Facelift

Arnold Monis — Thu, 06 Jun 2019 07:15:00 GMT

IRDAI’s New Regulations – Life Insurance Receives Much-Needed Facelift

06-Jun-2019 06-Jun-2019'

Arnold Monis

New regulations were keenly awaited by the Indian Life Insurance sector for quite some time. Finally, the draft released in Oct 2018 has evolved into concrete regulations on Mar 28, 2019. Firstly, the new regulations are aimed at helping better investments in the share market. Secondly, they will also go a long way to help insured persons get more practical value from their policies.

Many regulations have been brought about to magnify the scope for a freer insurance market, with huge benefits for insurance holders and buyers. We have listed important changes that you need to note for getting the best from your life insurance policies, regardless of whether you have bought them in the past or will buy them in the future.

Revival Period Extended to 5 Years

Customers can now get their policy revived within five years if they miss out on premium payments or cannot continue payments due to some genuine issue. This is a big boost, almost on the lines of governmental insurers. The previous revival timeframe for most private insurers was two years.

Death Benefits Now Standardized for All Age Groups

Death benefits have been standardized to seven times the annual premium for regular payment products and 1.25 times for single premium products for all age groups. This is one feature that varied with the plan based on a variety of factors.

Buy Annuity Plans from Any Insurer

With new regulations in place, a policyholder can buy an annuity plan from any insurer of their choice and is not bound to make a purchase from the same insurer that s/he has invested with. Some insurers pressed for purchase of annuities from solely their offerings, which is not a compulsion anymore.

Fixed Surrendering Amount after 2 Years

Non-linked policies can now be surrendered after two years and insurers will have to inform the insured about the fixed amount s/he will receive. The surrender value will be paid after two years irrespective of the premium-payment term, which was not the case earlier. This move is expected to make insurers practice ethical selling.

Major Changes to Unit-linked Insurance Plans (ULIPs)

IRDAI, being aware that unit-linked insurance products (ULIPs) are complex in nature and fair treatment should be ensured to the policyholder, has taken several initiatives.

Major Change 1: Partial withdrawal will be allowed for linked pension plans in situations of critical illness, permanent disability due to an accident, or any other major health issue or any issue pertaining to the survival of the insured.
Major Change 2: Extra premiums will be charged from policyholders who wish to buy riders with ULIPs, which worked as deductions of units previously.
Major Change 3: Most importantly, the minimum capital guarantee will no longer be available for policy buyers. Insurers can now do away with heavy debt investments, which were made earlier with a view to offering fixed returns.

Changes to life insurance policies have been activated nearly a decade after the old reforms. Along with being highly beneficial to policyholders, the new regulations are aimed at building a refreshed face for the industry. These initiatives, while being consumer friendly, are also ripening the market for smarter investments in Insurance.

(Suggested Reading: ULIPs Beat ELSS as a Better Tax-Saving Option)

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Is There a Right Time to Buy Life Insurance? When Is It?

Shraddha Gala — Tue, 16 Apr 2019 05:15:00 GMT

Is There a Right Time to Buy Life Insurance? When Is It?

16-Apr-2019 16-Apr-2019'

Shraddha Gala

Yes, there is a right time to buy life insurance. Over the years, insurance experts have zeroed in on a simple rule of thumb:

The right time to buy life insurance is when there is a dependency on your income

Adding to this, even though life insurance is a must-have tool in your financial portfolio, it would be wise to go through the following list and understand how the need varies from person to person depending on their age, family situation, and financial dependencies on their income.
Let’s run through a few common examples:

If you are above 30 with a wife and a young kid(s), you NEED to have life insurance to take care of your wife and kid’s future in both your absence and presence. In such a case, having a term plan and child plan is a must!
(Suggested reading: Are You Prepared to Meet Your Child’s Education Expenses?)
If you are below 30 and single with a financial loan(s) and parents to take care of, you NEED to have life insurance, so that even in your absence, your loan(s) can be paid off and your parents are supported financially.
If you are between 25 and 30 and single with no liabilities or dependencies, then you NEED NOT have life insurance, but since you do not have any liabilities, you can think of equity (moderate- to high-risk) investments that will help you build a corpus faster. ULIPs (Unit-linked Insurance Plans) are a good option because they give returns just as high as mutual funds but with many more benefits like lower fund-management charges, tax benefits, and life cover, among others.
If you are above 50 and coming close to retirement, then you NEED to have life insurance that pays out monthly income during your retirement so that you do not have to be dependent on anyone.
(Suggested reading: How to Plan for Retirement)

It is important to understand that getting covered by life insurance must be a well-thought-out, well-calculated decision, so choose your plan(s) wisely keeping in mind changing life stages.

In case of queries, feel free to write to us at support@oneinsure.com or call 86559-86559.

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1 Simple Step to Set Your Tax Worries to Rest

Aditya Nair — Tue, 19 Feb 2019 06:05:00 GMT

1 Simple Step to Set Your Tax Worries to Rest

19-Feb-2019 19-Feb-2019'

Aditya Nair

Do you worry about HR's tax email every year? Are you one of those who hurry to make tax-saving investments at the last minute? Relax, you’re not alone. But even you have to agree that worrying about tax every year is really not an ideal place to be in.

So, how do you get out of this rut? It’s really simple when you strategize early and stay committed. Although 10 people will give you 10 different opinions on what the best tax-saving strategies are, the following points hold true for everyone, regardless of income, age, or socioeconomic status:

Tax-saving avenues have to be legal and have a valid paper trail
Slow and steady tax-saving investments (monthly) are better than lump sum investments
Invest in instruments that give tax exemptions in as many stages as possible; the stages are:
- Investment stage
- Accumulation stage
- Withdrawal stage

Keeping all of these points in mind, here is a simple yet effective solution that can set you free of tax worries for years to come.

How Does Life Insurance End All My Tax Worries?

Life insurance helps you preserve your hard-earned wealth by saving tax at every possible avenue:

Investment Stage: Premiums paid towards life insurance are Section 80(C) compliant. This means that you can claim up to Rs 1,50,000 tax exemption when you invest in life insurance.
Accumulation Stage: There is no tax burden during the entire policy term of a life insurance plan.
Withdrawal Stage: The pay-outs of a life insurance plan are exempt from taxation under Section 10(10D) at both maturity as well as during claim scenarios.

How Does Life Insurance Work, Exactly?

Forming the bedrock of any urban Indian's financial planning, a life insurance policy is a means to financially secure your loved ones in the event of your demise. The whole idea behind getting a life cover is to protect your near and dear ones from a sudden loss of financial support. Life insurance gives you peace of mind. Should something unfortunate happen to you, the beneficiaries named in your insurance policy stand to receive the policy's benefits.

There are mainly 2 types of life insurance, as follows:

Term Life Insurance - Term plans are availed for a shorter period of time, like 10 or 20 or 30 years. When you purchase a term plan, you can have the assurance that the life insurer will pay your beneficiaries a set amount if you pass away during the policy period. In return, you pay regular premiums for the term. Now, it must be noted that if you live beyond the policy term, neither you nor your beneficiaries stand to receive any benefits. However, lately, insurance companies have started offering term insurance return-of-premium plans, where premiums will be refunded at maturity.
Whole Life Insurance - Whole life insurance provides coverage for the policyholder’s entire life or up to the age of 99, whichever is earlier, as long as the premiums are paid on time. The beneficiaries stand to receive the sum assured as well as the bonus on it upon the demise of the insured individual. The premiums on whole life plans are generally more expensive than term plans. The reason behind this is because the coverage lasts a lifetime.

To speak with insurance experts who specialize in tax-saving investments, feel free to write to us at support@oneinsure.com or call 86559-86559. We look forward to assisting you.

For other best-in-the-industry tips on tax-saving, have a read here.

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Beware! Your Life Insurance Claim Can Be Rejected Due to These Simple Mistakes

Mariya Panwala — Wed, 28 Nov 2018 10:40:00 GMT

Beware! Your Life Insurance Claim Can Be Rejected Due to These Simple Mistakes

28-Nov-2018 28-Nov-2018'

Mariya Panwala

The heart attack that killed you came without a warning.

You went to sleep peacefully, but in the middle of the night you woke up suddenly with a great deal of pain in the chest region. Within minutes, you were no more. In those minutes, some part of you was grateful you had a life insurance plan to take care of your family's finances after you were gone.

But will they receive your life insurance pay-outs? Or have you made one of the following errors, which could result in the claim being rejected by the insurance company?

Concealing Important Information

You Forgot to Update the Details of Your Nominee

Let's say your nominee is no more and you forgot to update the details of your new nominee with the insurance company. In such a scenario, the insurance proceeds or death benefit will be paid out to your legal heir. Also, remember that your last will and testament will supercede your nomination, so ensure that the former is in sync with the latter and the rightful nominee gets the benefits.

It is in the nature of humans to forget, miss, or overlook things until it is too late. The same might happen in the case of insurance policies. However, unlike other instances, the risk can’t be taken here because you will no longer be there to fix it. To ensure policyholders do not overlook details or misinform or forget to make an important change in the policy, OneInsure would like to take this opportunity to introduce readers to the benefits of the OneInsure app. With the OneInsure app:

You get regular premium payment reminders, so you don’t miss paying premiums and your policy remains active.
You can add contact details of your nominee, so your nominee remains in the loop and can receive claim assistance immediately if and when required.
You can locate nearby network hospitals, garages, and blood banks.
You get to chat with insurance experts and ask queries through the app and get them resolved in a short time.
You get jargon-free explanations of details pertaining to your insurance policy.
You get policy- and claim-related tips regularly.

If you haven’t installed the OneInsure app, we suggest you do so right away to start receiving all kinds of insurance services regardless of whether or not you have bought your policy through OneInsure. Your small step today will ensure your loved ones experience a smooth and timely settlement of claim if and when required.

OneInsure's strong insurance experts would love to solve any of your insurance-related queries. Feel free to call at 86559-86559 or email us at support@oneinsure.com.

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Why Every Family Needs Life Insurance

Mohit Mishra — Mon, 09 Jul 2018 06:44:00 GMT

Why Every Family Needs Life Insurance

09-Jul-2018 09-Jul-2018'

Mohit Mishra

It was raining heavily that morning. Namita tried persuading Prakhar to skip work for the day and instead help her clean up the living room, which was awash with clutter from the previous night’s birthday celebration of their (now) one-year-old daughter, Ananya. But he had a very important meeting that day, on which his promotion depended. He quickly got ready, kissed his daughter goodbye, and promised Namita that he would be back half-day from work.

An hour later, she received a call informing her that her husband’s car had met with a major accident after part of a foot-over bridge had collapsed following incessant rain. Prakhar, who was critically injured, was immediately taken to the intensive care unit (ICU) of a nearby hospital. Namita rushed to the hospital after dropping Ananya at her granny’s. Once there, she was informed that the chances of survival were slender as Prakhar had suffered multiple head injuries.

Days went by and there was no improvement in Prakhar’s condition. Namita became disheartened. Apart from the emotional trauma of losing a life partner, she was burdened with the fear of having to bring up Ananya all alone, especially when she was financially dependent on her husband.

Prakhar passed away on a Thursday morning after succumbing to his injuries. A few days prior to his death, Prakhar had informed Namita that right after they had conceived, he had secured their financial future with a life insurance policy should something untoward happen to him. He assured her that if he didn’t survive, she need not worry about Ananya’s education and their house loan as his policy will provide them a regular monthly income to take care of those expenses.

After the mourning period was over, Namita contacted Prakhar’s insurer and informed them of his death. The insurance company assisted her with the claim procedure and within a few days, the claim was approved. From then on, every month, Namita received a regular income, from which she could clear all outstanding dues, manage the home, and she even got Ananya admitted into a good school. All these years, while the emotional vacuum created by Prakhar’s death could never be filled, the policy ensured that the family suffered no financial turbulence – neither was Ananya’s education hampered and nor was their lifestyle compromised.

Today, Ananya is pursuing Architecture from one of the renowned colleges in India and dreams of designing better infrastructure for the nation to prevent structural failures that stole her father from her. Namita is working as a private educator and managing the family’s finances well. None of this would have turned out to be easy had Prakhar not opted for the life insurance policy on his life.

According to a report by the National Council of Applied Economic Research, only 24% of Indian families are covered under a life insurance policy. This means that 76% of households are living under constant risk of losing the breadwinner of their family.

Life is uncertain. It is difficult to know what is coming down the pike. These uncertainties can have a considerable impact on those dependent on us if we don’t take measures to ensure that they will be taken care of. With a life insurance policy, you make a crucial financial decision before life’s uncertainties befall you.

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Why Should You Invest Today?

Mariya Panwala — Wed, 11 Apr 2018 07:34:00 GMT

Why Should You Invest Today?

11-Apr-2018 11-Apr-2018'

Mariya Panwala

Why should you start investing today?

The only thing that comes between your desire to save and executing your savings plan is this –

“Let me think and get back”

“If I can do it today, I can do it tomorrow as well”

Planning at an early stage is important. Delaying would only result into a financial loss. Let us understand this with an illustration.

Scenario 1

Suresh was 35-year old when he started investing in a 25-year retirement plan. He regularly paid small monthly investments of ₹3,000 which totaled to ₹9,00,000. Recently, when he turned 60, he received a corpus of ₹28,00,000 from his insurance company.

Scenario 2

Ramesh was 45-year old when he started investing in a 15-year retirement plan. Ramesh too regularly paid his monthly premiums of ₹8,000 which totaled to ₹14,40,000 until his premium paying term (PPT) was over. When his insurance plan matured at the age of 60, he was paid ₹27,00,000.

Noticed the obvious difference? While Ramesh paid a higher premium amount, it is Suresh who received a larger corpus on retirement. Reason being, he started investing for his retirement early on.

Also Read: Tips for choosing the right retirement plan

The major financial advantage of investing early on is that the earlier you start saving, the higher the returns you get.

Besides, once you start investing at an early age –

You’ll start taking measures to curb unnecessary expenses which will improve your spending habits.
You’ll get an early on exposure to the investment market which will help you take long-term financial decisions effectively.
At a comparatively younger age, you have lesser financial obligations, so you can afford taking risks.
At an early stage, you will understand how to use insurance products (esp. health and critical illness insurance) to avoid financial crunch during emergencies.

Also Read: How to be your own retirement planning advisor

The other things that you need to keep in mind before you start investing in any plan are -

Distribute Your Savings - Do not allocate all your savings in a single investment type. Explore other investment options - stock, gold, fixed deposit. When you distribute your savings, your risk gets distributed too.
Do invest in stocks - The most lucrative investment option is stocks, so do allocate some portion of your savings to stocks. Of course it is a more risky investment option as well but consult experts at OneInsure and they will help you take a reasonable decision.
Choose affordable premiums - When you select a plan, make sure the plan does not come with premiums that might be too heavy on your pocket. Choose a premium that you think you can pay regularly, without affecting your routine expenses.
Stick to your investment plans - Do not break into your savings unless it is an emergency. Sticking to your plan for a long term will yield desirable returns.

Also Read: How to financially secure your child's future

All in all, the right time to start investing is NOW. take your pen and paper and sit with your laptop and start looking for the best investment/retirement plans in India. Or you can directly get in touch with us and we will help you select the best plan. Contact details will be given below.

Do not forget that you're only incuring loss if you do not start investing earlier. Also keep all the bove points in the mind before you make any purchase.

Start saving now! Contact us and we will arrange a meeting for you with our financial experts who will help you take a wise investment decision without charging anything for their service. Dial 86559 86559 or email us at support@oneinsure.com. You can also visit OneInsure's website and request a call back in the comment section of the product you wish to avail. Happy Investing!

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Acquaint Your Spouse With These Money Advices

Mohit Mishra — Fri, 09 Mar 2018 08:59:00 GMT

Acquaint Your Spouse With These Money Advices

09-Mar-2018 09-Mar-2018'

Mohit Mishra

Unappealing and rather unnerving is the subject of death, isn’t it? Why talk about something so unappealing? Death and its consequences are the two subjects that the human race has always feared to talk about. But has any problem in the world ever been solved without deliberately discussing it? Of course not! Likewise, we cannot figure out potential ways of dealing with the repercussions of death unless we choose to talk about it and consequently plan for it.

It is strongly recommended to talk about one's death with one's life partner. Term Insurance Plans have gained a lot of popularity in India and continue to be one of the bestselling insurance products out there. Many Indian householders opt for term plans for their high coverages and relatively lower premiums.

Although going for a term plan may well be one of the smartest financial decisions one ever takes towards protecting one's family from financial uncertainties, it is a task only half done if one hasn't communicated with them the procedure to file a claim when the need arises and what other money moves need to be made. So, to save one's family going through a tough time amid the mental and emotional trauma that they will be going through already, it is recommended that one acquaint their spouse with the points mentioned here.

Get the Death Certificate – The Death Certificate is one of the most important documents that your spouse requires. It is needed for legal purposes and even other institutions like his insurer, bank, credit card company, and employer will ask for it. So, one must first register the death with the concerned authority and obtain the Death Certificate and keep several copies of it so that they’re handy when required.
Call the insurer and inform them about the demise – It is very important to notify all the important institutions like the employer, the bank officials, and of course the insurance company of the unfortunate demise. While informing the insurance company, make sure to obtain the necessary details to begin claim application.
Organize all the financial documents and file a claim – Once it is certain that the policy is active, the spouse needs to gather all the financial documents that are needed to raise the claim. Organize them well and start the procedure of filing the claim. The spouse must also keep in mind that the help of the insurance agent, from whom the policy was bought, can be availed.
Pay out all the necessary outstanding bills – Paying all outstanding bills would become very essential because you do not want the already mourning family members to suffer further with unnecessary interruptions. Electricity bill, gas bill, phone bill, credit card bill, rent (if any), should be among the first priorities and must not be pushed for later.

Tip

Go for an Income Replacement Plan rather than a Lump Sum Plan – At times, when the spouse is not financially savvy, it is suggested to go for an income replacement plan. Insurance companies have designed some life insurance products where the beneficiary first receives a certain portion of the coverage as a lump sum amount while the remaining portion is given out as a regular monthly income to take care of smaller financial needs. This ensures that the family is receiving a regular income in case it is unable to take major financial decisions soon after the demise of the primary earning member.

To conclude, you must know that your spouse and family members will already have lots of things to deal with after your death and may not be in a state of mind to think effectively when it comes to money. And they cannot become financially savvy overnight. You need to instill in them these things gradually to help them mature into better financial decision-makers tomorrow.

Last but not least, don't forget to let your loved ones know that whenever they need Claim Assistance, OneInsure will be there to assist the family in settling the claim. They can reach us at 86559-86559 or support@oneinsure.com.

Loved this article? Want to read more? All you need to do is send “Start” through WhatsApp on 98202-25238 to get useful articles right on your WhatsApp for free. Here are some additional services we offer:

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How Much Life Cover Should I Have?

Mariya Panwala — Thu, 22 Feb 2018 13:30:00 GMT

How Much Life Cover Should I Have?

22-Feb-2018 22-Feb-2018'

Mariya Panwala

“How much life cover should I have?” is a question that we as an insurance broker are asked frequently by those seeking life insurance policies. Due to a number of factors, the required life cover of each individual may vary. In this article, we discuss these factors that will help you determine how much of the life cover you would require. Read on each factor below to figure out a rough amount of the sum assured that you should be looking for before settling for any life insurance plan.

1. Will it pay your outstanding liabilities?

Outstanding liabilities like your home or car loan will have to be paid even if something untoward happens to you. Besides that, you might have other pending liabilities. Make a list of all these liabilities and calculate to ascertain your total outstanding liabilities which need to be paid no matter what.

2. Will it pay your child’s education fees?

If you’re the sole earning member in the family, then your child’s financial future depends on you. In case of your unfortunate demise, your child shouldn’t be deprived of the education that s/he must have. Calculate a probable amount for the same based on the degree and college you wish to enroll him/her for. A good 4-year engineering course that costs about ₹8-10 lakhs today will cost at least ₹17-18 lakhs by 2025. By 2030, it will easily cross ₹30 lakhs and by 2040, ₹50 lakhs. So keep this in mind.

3. Will it replace the income that you earn?

Your current income also provides for your family’s monthly expenses (household, medical, travel, grocery, etc.) which might be disturbed followed by an unfortunate incident or your retirement. Let’s say, your family’s current monthly expenses are ₹15,000. In the future, this might increase due to rising costs and improvement in the standard of living. So estimate an annual amount that you might require to meet the basic expenses of the family.

4. Will it take care of your post-retirement plans?

If you’re looking for a retirement cum life insurance plan, then it will not only provide you a death benefit (in case of an untimely demise), but also a maturity benefit (in case you outlive the policy term). That means, if you survive, you get a lump sum amount from the insurance policy. You can use this amount to fulfill your retirement goals like getting your children married, sustaining your current standard of living, owning a property, going on foreign trips, etc. Ascertain how much money you’ll require to attain these goals.

Once done, count all these figures to estimate a final amount that you will need as your life cover. Now look for the Retirement Plans online and subscribe to a plan that you think is affordable (for this, you must consider the premium amount that you shall be liable to pay every month/year) and is close to the estimated amount that you’ve calculated to meet your retirement goals.

In case you need further guidance, let us know in the comment section below or get in touch with us at 86559 86559 or at support@oneinsure.com. Based on your requirements, our team of financial experts at OneInsure will help you decide which plan to go with.

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How To Take A Loan Against Life Insurance Policy

Joan — Tue, 30 Jan 2018 13:55:22 GMT

How To Take A Loan Against Life Insurance Policy

30-Jan-2018 30-Jan-2018'

Joan

Traditionally, the main function of a life insurance cover has been to safeguard the family's finances in the event of the demise of the breadwinner. Today, however, insurance is not limited to covering risks; it can help in getting a loan. So, not only do you get security, life insurance also comes to your aid when you’re going through a financial emergency.

Several lending institutions provide loan against the surrender value of whole life insurance policies. Term insurance policies, on the other hand, don’t generally acquire a surrender value; hence, it is not possible to avail a loan through this option. Before buying a life insurance plan, make sure to read through the policy documents to understand the terms and conditions associated with it. If the documents state that your policy will only acquire a minimum surrender value when you have paid premiums for at least three years, then you can get a loan only after ensuring premiums are paid for the three years.

How much can be availed?

The loan amount you can take out is a percentage of its surrender value. Usually, loans can be availed up to 80-90% of the surrender value of traditional plans with guaranteed returns. Now, it is important to note that there are two kinds of surrender value – i) special surrender value and ii) guaranteed surrender value. While initially you may find that the difference between the two isn’t much, the special surrender value, after a while, generally becomes greater than the minimum guaranteed surrender value. Loans will be offered on the higher surrender value.

The amount of loan that will be granted also depends on the nature of the policy. Lending institutions usually have a preapproved list of insurance policies against which they provide the loan. The nature of facility that is offered by banks is usually in the form of overdraft facility or demand loan or term loan.

Loan repayment

After the loan is sanctioned, all rights on the policy are transferred to the lending institution. A crucial point therefore to be noted is that if the loan is not repaid, your family will not stand to receive the benefits as the lender will have the rights to claim the maturity amount. The loan repayment should be done within the policy term. The insured individual can either choose to pay back the principal along with interest or just the interest amount. In case the individual chooses to repay only the interest, then during the time of settlement, the principal amount due shall get deducted.

In conclusion, consider taking a loan against the surrender value of a life insurance cover if your credit score is low or if the interest on personal loan is high. Also, keep in mind that the loan amount you get may not be a large figure, given that it is a percentage of the surrender value. For any queries on taking a loan against life insurance, write to us in the comments section below or drop us an email on support@oneinsure.com.

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Tax Treatment Of Single Premium Life Insurance

Mohit Mishra — Sat, 13 Jan 2018 10:00:00 GMT

Tax Treatment Of Single Premium Life Insurance

13-Jan-2018 13-Jan-2018'

Mohit Mishra

Rahul didn’t want to be bothered about remembering when his life insurance premium payments are due, so his friend suggested that he go for the single premium route. Now, a single premium policy, as the name suggests, offers a one-time payment solution, where premium gets paid just once in the entire policy term. If Rahul buys a policy of 10 years, he would be covered for the 10 years, even though he has paid premium in the first year only. While this seemed like a good idea, Rahul’s main concern was the tax benefits he could avail – would he be able to claim the same benefits as the regular premium policies?

Tax benefits under Section 80C and 10(10D)

In case of life insurance policies, tax benefits can be claimed under Section 80C and 10(10D) of the Income Tax Act, however, this is only applicable when certain conditions are met. Premiums for a life insurance policy (issued on or after April 1, 2012) qualify for deduction under Section 80C, up to a maximum of ₹1,50,000 a year. If the premium is greater than 10% of the sum assured, the deduction allowed will be 10% of the sum assured. Deduction cannot be claimed for the premium amount paid in excess of this. Another essential point to be noted concerning such policies is that you will be eligible for a one-time tax benefit (under Section 80C) since you will be paying the premium at a single time only.

As per Section 10(10D), maturity proceeds for life insurance plans purchased on or after April 1, 2012 shall be exempt from tax if the annual premium paid is not more than 10% of the sum assured. The maturity proceeds from the single premium policies will only be exempt from tax if the minimum sum assured throughout the policy period is at least 10 times the single premium paid. Single premium policies are sometimes at a disadvantage because their sum assured is low. When you're looking to buy a single premium life insurance policy, make sure you consider those plans with the right amount of life cover, especially if you want to enjoy the tax benefits.

To find the most suitable life insurance plan, write to us in the comments section below or drop us an email at support@oneinsure.com.

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3 Reasons Your Life Insurance Claim May Get Rejected

Mariya Panwala — Tue, 19 Dec 2017 14:07:00 GMT

3 Reasons Your Life Insurance Claim May Get Rejected

19-Dec-2017 19-Dec-2017'

Mariya Panwala

“A man who dies without adequate life insurance should have to come back and see the mess he created,” says Will Rogers.

But what about the man who did get life insurance but the claim got rejected? You definitely do not want your family to be in a situation where despite having a life insurance plan, they get no financial support from the policy. Chances are that this may happen for several reasons and it is only in your hands to prevent that from happening. Hence, we have listed below some of the reasons that are more often than not the reasons for rejection of claims. So find out what mistakes you need to avoid when you get a life insurance plan.

1. You’re either concealing facts or misinforming your insurer

When buying the policy, DO NOT (and we say it again, do not) conceal any material facts regarding your medical or health history. For example, if you’re a smoker, let them know it. It will only increase your premium by a small margin but if you try hiding this fact, your claim may get rejected which will be a greater loss. Besides, do not provide wrong information. If you have a medical condition, i.e. a pre-existing disease, then do not hide it. Your insurers may anyway find out about it, so why hide it in the first place? Do not make this mistake because it may have greater repercussions when the claim is being raised.

2. Suicide has been committed within a year of policy commencement

You go to a top most floor, jump off it and you die. This is a case of suicide. Your insurers surely wouldn’t cover this. However, some insurers do cover suicides as well, but not if committed within the first year of the policy term. So be careful of what you choose to do.

3. You failed to pay premiums regularly

It is fundamental to pay premiums on an insurance policy because that’s how an insurance policy is designed to be. So, if you do not oblige to this basic condition, then it doesn’t make any sense to think that the insurer is still bound to pay the coverage amount. The insurer will definitely give you a few chances by reminding you to pay your outstanding premiums but if it gets too late, they will cancel the policy and inform you of the same.

Apart from the above points that are usually the reasons of rejection, there’s another mistake that you shouldn’t be making or it may lead to delay in claim settlement. And that is – Forgetting to appoint/inform your nominee of your insurance policy. This can’t happen. The first thing you need to do after purchasing a policy is to appoint a nominee. You must also inform him/her about your life insurance policy on which they can rely for financial support when you’re not around.

Besides, there are possibilities that the policyholder will change his/her nominee because s/he no more shares the same relations with the nominee appointed earlier. Let’s say, you got divorced and remarried. These things may change your decision as to who should benefit from your life insurance policy. So, inform your insurer and get the policy updated and inform your new nominee as well, or the right nominee may have a tough time in getting through it.

Parting words – You must have heard this umpteen times for sure, “read the policy documents carefully”, and now is the time to literally do that. Go through all the papers carefully, especially exclusions. Also, keep in mind the aforementioned 3 points before signing on the dotted line.

Assistance:

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Buying Life Insurance Under the Married Women's Property Act

Madhurima Pawar — Thu, 26 Oct 2017 12:36:00 GMT

Buying Life Insurance Under the Married Women's Property Act

26-Oct-2017 26-Oct-2017'

Madhurima Pawar

Yash's business was running on borrowed capital. One day, while heading home, Yash met with a tragic accident when a truck crashed into his car. He passed away on the spot. Post his demise, his creditors tried really hard to go after Yash's assets. But Yash had opted for a term insurance cover under Section 6 of the Married Women's Property Act (MWPA), 1874. This helped ensure that the death benefits paid out by the insurance company only went to Yash's wife (as mentioned in the policy). None of the creditors could claim even a single rupee from it.

What is the Married Women's Property Act?

Married Women's Property Act is a law that you can use to secure your family's future in the event of your demise. The Act safeguards a married woman's property from creditors. Section 6 of the Act, which covers life insurance plans, states the following:

“A policy of insurance effected by any married man on his own life, and expressed on the face of it to be for the benefit of his wife, or of his wife and children, or any of them, shall endure and be deemed to be a trust for the benefit of his wife, or of his wife and children, or any of them, according to the interest so expressed, and shall not, so long as any object of the trust remains, be subject to the control of the husband, or to his creditors, or form part of his estate.”

When a married man gets a life insurance cover under this Act, his policy gets treated as a trust. He can be assured that only his beneficiaries, which includes his children and spouse, will receive the policy proceeds. A married woman can also buy life insurance plans under the MWP Act, 1874. This, however, will come under Section 5 of the Act, and all of the policy benefits will remain as her separate property. The Act is in effect throughout the nation, with the exception of Jammu and Kashmir.

Who can be a beneficiary?

The beneficiary under the Married Women's Property Act in life insurance can be:

Wife alone
Child/children alone (natural and adopted)
Both wife and child/children

How to attach MWPA to life insurance?

The process of buying a policy under the MWPA is rather simple. All you have to do is fill up a form - MWP addendum - at the time of the application of a life insurance cover. It must be noted that you will not be allowed to convert an existing policy into an MWP benefit policy; this can only be done while buying the policy the first time. You will be required to mention the details of your spouse and/or children and the respective share of benefits.

Who should buy such a policy?

If you are a businessman, you definitely need to have a life cover under this Act. Why? There's going to be ups and downs, and you can never be certain when death is going to knock at your door. Should you have any pending debts at the time of your demise, the creditors and government can go after your assets. To ensure that your policy proceeds are free from creditors or any court attachments, make sure you purchase a life policy under the MWP Act.

Note: Once you have attached MWP Act to your policy, you can neither surrender nor get a loan against your policy.

Ask all your insurance queries to our experts right here on WhatsApp
Get tax certificates
Surrender your policy
Change policy details
And many other services

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Don’t Lie To Your Insurance Company About Your Smoking Habits

Joan — Thu, 26 Oct 2017 11:54:00 GMT

Don’t Lie To Your Insurance Company About Your Smoking Habits

26-Oct-2017 26-Oct-2017'

Joan

Why do individuals lie about their smoking habits on the insurance application form? To benefit from lower premium rates? Or maybe to maintain eligibility for an insurance policy? But are there no ramifications of lying to the insurance company? Of course there are! In this article, we will look at why you shouldn’t lie to your insurance company about your smoking habits and what are the consequences if you do.

Failure to disclose about tobacco use is one of the most common lies in an insurance application. Given that premiums rise by 25-50% if one consumes tobacco, it can be quite tempting to say that one does not smoke to keep it low. If you are a smoker, do not lie about your smoking habits to your insurance company. You may think the lie is no big deal, but what you don't realize is that you are putting the insurance benefits at stake.

Who is regarded as a smoker by an insurance company?

An insurance company will list you as a smoker if you answer yes to the question of smoking on your insurance application form. A smoker is someone who uses tobacco or nicotine in any form - be it cigarettes, cigars, nicotine patch or chewing tobacco. Whether you regularly use nicotine products or you smoke occasionally, your answer should be yes in the form, as by insurance standards, you are to still be regarded as a smoker.

If you, a potential client, have given up smoking then you can avail non-smoker insurance quotes from insurance providers. To benefit from the lower premium rates, you have to quit the habit for at least 2 years.

What happens if the insurance company finds out you are lying?

If you smoke, it is not a wise move to lie about it. Insurance companies have ways of finding out whether one has lied or hidden facts on their application form. During the medical tests, if the insurance company gets to know that you have lied about nicotine or tobacco use on your application, the policy could either be revoked or the insurance company may refuse to pay the claim amount. The ethically right thing to do here is to tell your insurance company the truth while applying for a policy, so that there is no chance of material misrepresentation.

Lastly…

Be honest with your insurance company from the very start and accept the fact that if you are a smoker you will be asked to pay more for your policy. The reason we have an insurance cover in the first place is to protect our near and dear ones financially, should anything unfortunate happen to us. Lying to the insurance provider puts the financial security of our family at risk.

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