Insurance Advice?

Question

I want to take insurance (risk cover - preferably whole life- of LIC. Whic are the options available? What is profit and non profit policies? Brief explanation please !! Thanks

Answer 1

Congratulations for opting for LIC insurance cover !!

Let me explain profit & non profit policies in brief.

Profit Policies are those return a ceartain amount on maturity. The amount payable on maturity will be the sum assured + accrued bonuses + final additional bonuses, if any. You may roughly calculate it as about 6% compunded annually.

Non-Profit (Pure Insurance) : As the name denotes it is a policy which returns nothing on maturity. It will pay only if the event against which one has taken the policy occurs, such as the untimely demise of the insured ect.  Here one can take insurance  for a larges amount on payment of a very low premium. Also you have the advantage of shifting to another insurer, as there is no surrender value involved.

As for your query regarding a whole life plan - in my opinion the best plan available with LIC is JEEVAN ANAND - it will give the policy holder a life long cover even after paying the full maturity amount on maturity of the policy. On the death of the policy holder the Sum Assured is again paid to the nominy. This is also called the Double Maturity Plan. Double Accident Benefit is available upto the age of 70.

So Go ahead ! Insure Yourself !!

Answer 2

these are good site for all type  insurance and insurance company and agents

http://www.insuranceplan4u.com

http://www.insuranceandinvestments.net/i...

Answer 3

Hi, if you want only insurance cover then I suggest you go for a pure term plan and invest the rest of the amount in mutual funds.A term plan is very cheap. In case of anything unfortunate the amount will be paid to the nominee. If you survive you dont get anything. You can opt for whole life but the problem is you'll have to go on paying the premium whole life. With profit policies are the ones which, on maturity give your principal amount plus the bonus whereas without profit policies dont give bonus like term plan. For more information visit http://www.investorcamp.blogspot.com

Answer 4

take insurance in following sequence:

1. mediclaim

2. accident insurance

3. life insurance- pure- no maturity benefits- very low premium and high cover  then only to the extent necessary to cover loss to family from your untimely and sudden death.