Insurance

Your homeowner’s insurance provider will pay to repair or rebuild your home and replace its contents if they are damaged by certain risks like a fire, theft, or a weather disaster like wind or lightning. It will also pay to replace any personal belongings stolen from your home.

Suppose you are unaware of the coverage offered by your best homeowner’s insurance policy and its policies. In that case, you may be paying more than you should for insufficient protection. The following list of the top insurance companies in 2022 is provided to assist you in locating a homeowner’s insurance policy that meets your specific needs.

Erie

Erie is another well-known home insurance provider that has received outstanding evaluations for its financial stability and excellent customer service.

Erie performed admirably across all of our evaluation criteria, but its cost-effectiveness stood out the most. Most of the company’s rivals in the sector are constantly undercut by the business’s competitive pricing.

USAA

Only active or former members of the military, as well as members of their immediate families, are eligible to join USAA. If you are qualified for USAA homeowners insurance, you will be entitled to benefits such as reductions in the cost of car rentals and ADT home security systems.

Another characteristic that sets USAA apart from other house insurance providers is that its standard policies contain not one, not two. Three different types of insurance coverage, whilst other providers need you to buy more coverage as an add-on.

Amica

When compared to the other providers, Amica® offers the widest variety of liability coverage choices. Most businesses provide liability coverage of between $100,000 and $1 million, but the minimum coverage option offered by Amica is $25,000. It allows policyholders to reduce their premium if they are less concerned about the possibility of being held liable for an accident. It may also enable homeowners to enhance their coverage in other areas at a more financially manageable price.

Farmers

Farmers have the most adaptable homeowners insurance. Farmers Insurance allows you to decide how much protection you want for each coverage category. In contrast, most home insurance companies only offer a predetermined amount of coverage for other structures, personal property, and loss of use based on the amount of your dwelling coverage. It covers over twenty different deductible options and liability coverage of up to two million dollars.

Liberty Mutual

Since its founding, Liberty Mutual has been dedicated to meeting its clients’ reasonably priced homeowner’s insurance needs.

The fact that the company offers numerous discount options, such as those for bundling, first-time homebuyers, paperless billing, early shopping, and even up to ten percent off for simply making an online purchase, enables it to maintain competitively priced insurance policies. This service provider is an excellent option for anyone interested in making the most of the discounts.

Travelers

Travelers are the most experienced provider of car, home, and renter’s insurance products and services, with more than 160 years of expertise in the market. Travelers are the oldest company in the home insurance sector.

Even if the home insurance options offered by this company aren’t nearly as wide as those offered by Farmers, you can still personalize the protection for other structures, personal belongings, and loss of use.

Allstate

The ability to tailor coverage to individual needs and competitive pricing is why Allstate offers the best home insurance in the business of customer care. Allstate’s customer service representatives are available around the clock to answer any concerns about homeowners’ insurance. In contrast to most insurance providers, which only keep their claims centers open around the clock.

You can use the mobile app or web portal to manage your policy and submit a claim if you would rather do so without speaking to a customer care professional.

The amount of your liability, medical payments to others, and deductible levels are up to you. Still, the cost of reconstructing your house decides how much coverage you receive for your dwelling, other structures, personal property, and loss of use.

You also have the ability further to customise your policy with over ten different endorsement options, and Allstate provides nine different homeowner discounts to help lower your monthly costs.

Nationwide

AM Best has given a strong “good financial strength” grade to the company Nationwide, a well-known provider. The organisation provides a comprehensive selection of financial goods, such as homeowners insurance and insurance for renters. Individuals who want comprehensive coverage but do not want to be required to purchase a lengthy list of add-ons are the greatest candidates for Nationwide.

Its basic plan already incorporates coverage for which most other providers charge additional fees. In addition to that, it offers some protection against fraudulent charges made on credit or debit cards.

State Farm

One of the most reputable home and vehicle insurance providers, State Farm, allows customers to tailor their coverage to meet their specific requirements by providing a selection of over ten different endorsements. In addition to formal endorsements such as water backup, full replacement cost, and earthquake insurance, the company also provides more specialised options such as service line coverage, home system protection, and personal injury coverage.

If you are trying to fine-tune your insurance by adding additional coverage, State Farm might be the company for you to choose.

Lemonade

Even though Lemonade is still relatively young in the field of homeowner’s insurance, the firm has prioritised providing customers with an insurance experience that is unlike any other. That is accomplished in several ways by the company, including the provision of individual endorsements for valuable items such as jewellery, fine art, bicycles, cameras, and musical instruments, as well as the ability to choose the level of coverage desired for each valuable item.

Additionally, the business works hard to provide its policyholders with a positive experience through an intuitive mobile application. It takes only one minute and a half to sign up for insurance, and claims reported using the app are typically paid out within three minutes of receiving.

Health insurance can help cover the costs of medical care for you and your loved ones if the coverage is used appropriately. Cats are family members, and pet insurance can help ensure they get the care they need without breaking the bank.

As any cat owner attests, owning a cat comes with a significant financial commitment. They provide the best care possible for your cat can be expensive, what with veterinary bills and expensive specialty diets. Pet insurance is a must-have if you want to give your cat the best possible life in terms of happiness and health without putting undue financial strain on your family. It doesn’t matters what type of pet you have or how old it is; purchasing the best cheap pet insurance is a simple and fast process.

Tips for Obtaining Pet Insurance for your Feline

Obtaining full coverage pet insurance for your cat is simple. Some employers provide pet insurance plans, and it’s worth it. At the end of 20171, about 11 percent of companies reported providing their workers pet health insurance as a voluntary perk. If you want to find out if something like this is available for you, talk to your company’s HR or benefits office.

A cat insurance policy can be purchased online from an insurance company if your company does not offer such a benefit.

If your cat is older than seven weeks, it is eligible for insurance coverage. To maximize the insurance’s usefulness, enrolling your cat in a plan is preferable when they’re still young and healthy. However, many companies offering pets insurance have no maximum age limits so that you can ensure your cat anytime.

Remember that your cat’s pet insurance prices could rise as they age.

Step-by-Step Instructions on how to Enroll your Cat in Health Insurance

Take Advantage of Price Estimates

Get your cat’s name, breed, age, gender, and medical history ready to give to the vet. Your name, address, and email address are required, among other information. Filling out the form shouldn’t take more than a minute or two of your time.

Pick a Package that Works for your Lifestyle and Budget

Once you have received an estimate, you may compare the options and pick the one that best fits your demands and budget. All of your pet’s veterinarian care expenditures may be covered by one of the many pet insurance plans available from most companies. Choose the most suitable option for your cat and your wallet.

Cover Yourself by Joining a Plan

Buy the pet insurance policy you’ve decided on right now. Your cat’s breed, age, the amount of coverage you select, and your location will all impact the premium price. Thanks to the agreement with Pets Best insurance providers, all customers who opt for pet health insurance can save an extra five percent on their monthly payments.

Put your Benefits to Good Use

Once your cat is insured, you can take her to any hospital or clinic that accepts insurance in the United States. Also, making a claim won’t impact your regular rates, so feel free to do so as often as you need to.

The Procedure for Claiming on a Cat’s Insurance

Although the specifics of how to file a claim and receive benefits from pet insurance can vary by provider, the process is straightforward. However, it may take time to adjust to the change. These instructions teach the ins and outs of using Pets’ Best pet insurance.

Get a policy ahead of time if you want to take advantage of pet insurance benefits. Pick a strategy, sign up for it, and keep paying the monthly fee.

Verify that the Appropriate Amount of Time has Passed Since your Last Waiting Period

A waiting period, the time following registering in an insurance plan but before coverage takes effect, is standard practice. Pets’ Best waiting times are typically two weeks or fewer, though this can vary by plan type. Accident waiting periods begin accruing on the policy’s effective date and end three days later. The incubation period for diseases is 14 days. When you enroll in a routine care plan, you can begin using it the following business day.

It will help if you Continue Taking your Cat to the Vet as you have Been

Take your cat to the vet if it becomes hurt or sick. Your plan will pay for care at any registered veterinary facility, so you may go to whomever you like—your regular vet, an emergency clinic, or a specialist.

Document your Claim

Send in your claim to your insurer after visiting the vet. Taking a picture of your invoice and submitting it through your Pets Best customer account eliminates the need for paper trails.

Earn Money

Your Pets insurance direct deposits advantages to your bank account instead of your veterinarian. Additionally, claims are often processed within a few days, so you shouldn’t wait too long to receive your compensation.

The State in which you Reside: Pet Insurance Rates Vary by Location

The annual maximum, deductible, and percentage you’ll be reimbursed – Expect a higher monthly premium if you choose a plan with modest deductibles and copayments.

Your monthly charges will vary greatly depending on your plan type. In 2019, the average cost of accident and illness coverage for cats was $29.16 per month, or $10.51 per month for accident-only coverage, according to the North American Pet Health Insurance Association (NAPHIA). Care for your cat might cost anywhere from $800 to $1,500, but pet insurance can help cover those costs.

Is it a Good Idea to Insure a Cat?

Even though not every cat should have it, the vast majority would benefit greatly from having pet insurance. You can’t get your new kitten insured until it’s at least seven weeks old. However, cat owners may consider purchasing pet insurance. Even if your cat is in fantastic condition now, it’s always a smart idea to protect them from unexpected medical costs by investing in pet insurance.

Employee health insurance is a type of health insurance to covers the hospitalization expenses of the employees of an organization. Employee health insurance is also known as group health insurance. Let us understand the procedure to file a health insurance claim under the group health insurance policy.

Cashless Claim:- Cashless claim settlement is the type of claim settlement in which the insured need not pay any amount to the hospital as the claim amount would be paid to the hospital directly by the insurance company. Below is the process to file a cashless group health insurance.

Step 1: The first step in the cashless claim settlement process is to check the list of network hospitals in your area. If there is a specific hospital in which you want to take the treatment, then the same should be checked from the cashless network hospital list on the insurance website. If your preferred hospital is on the network list, then you can avail the cashless facility in the same hospital.

Step 2: The next step is to approach the insurance help desk in the hospital and provide your health card and insurance policy in addition to the KYC documents to process the claim. If the surgery is pre planned, then it is recommended to approach the hospital 24 hours prior to the surgery. In case of emergency, the patient would be admitted to the hospital and the cashless approval would be taken from the insurance company. The insurance help desk would take care of all the insurance related approvals.

Step 3: The third step in this process is to undergo the treatment in the network hospital and get discharged from the hospital. The discharge would be done only after receiving the claim approval from the insurance company. If there is any amount to be borne by the insured such as Co-pay or other charges, then that should be settled directly with the hospital before the discharge.

Reimbursement Claim:- The reimbursement claim is where the insured would pay the hospital bill and then claim the same from the insurance company.

Step 1: The first step in the reimbursement claim settlement process is to get admitted in a non network hospital where there is no cashless claim settlement facility and get the treatment done. An intimation should be given to the insurance company regarding the hospitalization so that the claim intimation would be acknowledged by the insurance company.

Step 2: The second step is to get treated in the hospital and then collect all the required documents such as discharge summary, cancel cheque leaf, original bills, etc. The reimbursement claim settlement form should be duly filled and signed to be sent to the insurance company.

Step 3: The third step is to send the complete claim related documents as mentioned by the insurance company. The claim would be settled within 15 working days after receiving the complete set of documents.

The technology for telehealth changed so dramatically during the course of the pandemic that the potential of digital health care in providing increased access to mental health services has now been made abundantly clear.

Till recently, the biggest health insurance companies in the U.S used to cover only face-to-face therapy, but of late the waiving of certain rules and regulations post-COVID has helped stop this blatant discrimination in behavioral healthcare. As a result, just like in-person therapy, online care has also become an essential component of the healthcare system today.

Moreover, with more and more such platforms cropping up day by day, the signs are that most insurance companies will provide cover for online treatment from now onwards. The change may have been brought about by the coronavirus, but those who have just started to use telehealth suggest that these new norms are here to stay.

Cost and Accessibility of Mental Health Healthcare for Insurance Holders

Online therapy is not much different from traditional therapy in terms of effectiveness and service. Many therapists charge the same amount for online therapy and in-person therapy because essentially they are providing the same service.

Online therapy offers the perfect alternative to connect with an accredited therapist conveniently from your private space. This is especially beneficial for those living in remote areas, are homebound, or where no type of healthcare facility exists.

Most states today require insurance companies to provide cover for mental therapy in exactly the same way they cover a traditional session with a therapist in an institutional setting.

Now, apart from mental health platforms, even the traditional caregivers are willing to counsel clients virtually and are ready to accept insurance as well.

Online Options for Telehealth

There are several ways to choose a therapist for your online therapy sessions:

• The best thing to do is to call your insurance company for a referral for an online therapist or an online therapy platform. You can even ask which telehealth platforms offer behavioral health treatment and the insurance companies which cover it.

• Consult your primary healthcare doctor who has prior experience in working with therapists in your area and then reach out to them for further information on telehealth.

• Browse over the internet to look for reputable online therapy platforms that accept insurance. In our experience, for an app to be effective it should fit with the personal care goals of the user as well as for peer support. Some which are worth a look are:

Amwell: This is a reliable online healthcare platform that accepts insurance, including Blue Cross, Anthem, Aetna, United HealthCare and Blue Shield.

Doctor on Demand: Once you complete their questionnaire, the team of healthcare professionals on their panel match you with the right therapist. All services are in-network and come with many insurance plans.

Talkspace: This platform is best for those suffering from real-life issues like anxiety, depression or any type of addiction. Several leading insurance providers like Cigna and Alliant work with Talk space.

MdLive: With over 60 million members on its network, MDLIVE offers phone and video telehealth services to its users, mostly with same-day doctor appointments. Additionally, the platform is in-network with top insurance companies.

Which Insurance Plan is Better?

Medicare Part-B provides telehealth cover which includes psychotherapy, counseling, and any other medical or health-related service offered by a provider to a user based in a remote location.

The connection can either be through real-time video or audio technology. That said, while most Medicare plans cover telehealth, the coverage varies from state to state and plan.

Once you meet your Part B deductible, you need to pay for 20% of the cost, while Medicare takes care of the rest.

The US Center for Connected Health Policy cites that Medicaid covers in-person, and online individual and group therapy in every state except Iowa, so long as you have the medical prescription and diagnosis for the specific therapy.

What is not covered in Medicaid is career counseling, couple’s therapy, and coaching. Other types of therapies will depend on your plan.

Aetna has plans which include remote counseling or televideo as some people call it. For insurance coverage, you will need to work with an Aetna advocate and your primary healthcare doctor.

Cigna policies cover virtual care which includes online mental health care. They also cover services offered by Talkspace.

Does your Health Insurance Cover Online Therapy?

Cover for mental health services varies from provider to policy. However, the pressing issue is if your current health plan includes online mental health care or not?

A good place to start is to research the website of your insurance provider. This will indicate which online platforms your provider works with.

The next step is to make a phone call to a representative of your insurance company and confirm if online therapy is covered through your specific plan before connecting with an online therapist. If you are covered by an employee-sponsored plan, ask your HR department to handle it.

Find out which resources are available to you in your healthcare policy and ask clearly if telehealth visits are covered and what the copayments are.

Remember, the Mental Health Parity and Addiction Equity Act of 2008 requires insurers to frame the same financial requirements for mental health care and physical health care.

If your Insurance Policy doesn’t Cover Online Therapy, then what?

If your insurance company doesn’t cover online mental health coverage, you may explore other options:

• A sliding scale fee structure can make online therapy more affordable. The rates charged on this scale by the therapist depending on how much you earn. In other words, the less you bring home, the less you pay towards the cost of treatment.

• Get in touch with the mental health care center in your area and find out what they offer. They might offer financial assistance if you are a community member, or if not a more affordable form of therapy through workshops or group sessions.

• Some therapists offer free service, especially for virtual visits. You can try contacting therapists in your area to find out who is willing to extend free online therapy sessions for you.

• Many apps offer discounts and free trials. For example, eTherapyPro does not accept insurance but instead offers a three-day free trial which you can use to decide if online therapy is right for you.

• For free therapy options in your area, you can call the National Alliance on Mental Illness or email them at info@nami.org to get connected to a mental health professional.

Insurance is pretty much a part of our lives. Since most states require people to own auto insurance for their vehicles, you would already know what it is. In fact, you also have an idea of how it should work. But things can get foggy when you have to claim car insurance after an accident or a collision. 

We’ll explain the types of claims and how to claim auto insurance in case of an accident. Do note that the actual steps and processes may slightly vary depending on the state. 

First Things First 

What do you do when there’s been a traffic accident or a collision that damaged your vehicle in some way? The prime step is to check for injuries and call 911. Neither you nor others involved in the accident should have to end up at risk due to the lack of timely treatment. 

You need to call the police to file an official report. Calling 911 should take care of medical and police assistance unless there’s another specific number to dial for the police. 

The next step is to consider the extent of damage to the car. Will it work on its own, or should the vehicle be towed to the nearest garage? If your car needs towing, you can either call the towing company on your own or ask the police to take care of the issue. Save the receipts to submit when you file a claim for reimbursement. 

Of course, if you have roadside assistance cover, you can directly contact the insurer to send someone to handle it. Remember that invoking roadside assistance doesn’t mean you don’t have to file a claim. They are two different aspects. 

Filing a Claim 

You can file a claim when you or another person has been injured by the accident. Bodily injury and property damage are both acceptable claims. What if there is no other party involved in the car accident? 

Some accidents can happen by the sudden fall of a tree, landslide, rocks rolling down the hills, or even in a garage. Theft is also a valid reason to file a claim on your car insurance. Since the focus of our post is about claims after an accident, we’ll stick to it. 

First-Party Claim or Third-Party Claim 

The auto insurance claim you file after an accident is of two types. A first-party claim is when you contact your insurance company to reimburse or pay for the expenses. A third party claim is when you contact the driver/another person/ business’ insurer as they are responsible for the accident. 

The insurance companies will carry out their own investigation when processing the claim. So, it is always better, to be honest at this stage and file the right claim. If you have caused the accident and inadvertently harmed the other person, you file the first party claim. If you have been injured by another vehicle or person and are the injured member, you file a third-party claim.

For a first-party claim, it’s recommended to open the claim so that your insurance company can investigate and find the truth (especially if the other party declares that you are at fault). This won’t matter if you live in a no-fault state. The insurance companies will get involved no matter who is the cause of the accident. 

However, what if the other party was responsible for the accident? In that case, your insurance company will settle the dues after you pay the deductible. Then, it will directly deal with the other party’s insurer to settle the amount and get reimbursement for paying the bills.  

When dealing with a third-party claim, you have two options. You can either accept the money they offer or file a fresh claim with your insurer and let the companies work the money matters. This option is for when the third-party insurance company offers very little to settle the claim. 

Steps to Follow to File a Claim for Auto Insurance 

• Call the insurer on the given toll-free number, send an email to customer care, or use the mobile app of the insurance company. 
• Provide your policy number, date of birth, identification information, and zip code.
• Present your version of the events (preferably with a witness on your side).
• Collect the necessary documents, receipts, bills, contact information, etc., and share the photocopies with the insurer. Make multiple copies and save the originals carefully.
• Meet the insurance adjuster and be courteous. 
• Don’t go for repairs until the inspections are over. 
• Keep track of every conversation and update. 

Don’t forget that you can always Find a Better Deal on Car Insurance by talking to insurance agents and other agencies. Find the best affordable auto insurance to suit your budget and stay protected on the roads. 

Older individuals are more susceptible to chronic diseases and require extensive treatment to recover. After their retirement, meeting such treatment costs becomes quite challenging for them with a limited source of income. Keeping this in mind, investing in a senior citizen health insurance policy should be an integral part of one’s retirement planning.

However, before availing, individuals must be aware of its intricacies and how to choose the most suited option.

Key benefits of Health Insurance Plans for Senior Citizens

As mentioned earlier, after retirement, handling the medical expenses and treatment costs of critical illnesses become difficult for elderly persons. This is mainly because they barely have a proper source of income after that stage of their lives. Considering that, it is essential to avail of a health insurance plan that is dedicated to this group of individuals.

Following is a list of advantages policyholders possessing a senior citizen health insurance plan will be getting:

Cashless claim facility

With such policies, individuals get the convenience of cashless claim features at the network hospitals of that particular insurer. In case of medical emergencies, the family members do not have to arrange funds to finance the hospital expenses. Once the patient is admitted to one of those network hospitals, they will be able to avail of a cashless claim, and the insurer will be covering the entire costs.

Lifetime renewability

Unlike traditional health insurance plans, such policies applicable to senior citizens usually offer a lifetime renewability feature. With this facility, the policyholders can avoid the complications that come with policy renewal at an older age.

Less waiting period

The waiting period is the time limit during which policyholders are not able to claim health insurance benefits. This period is comparatively lesser for health insurance policies for senior citizens than the traditional policies. Since chances of developing critical ailments get increased after a certain age, the scope for urgent medical emergencies also increases with that.

Because of this particular feature, individuals do not have to wait for years to claim the treatment cost.

Tax benefits

The availability of income tax benefits is another major reason why health care insurance policy can be a part of one’s retirement armory. Here is an explanation of the tax deduction available on such policies –

• Individual and parents below 60 years of age: Up to Rs.50,000
• Individuals and family members below 60 but parents above 60: Up toRs.75,000
• Everyone in a family is above 60: Up to Rs.1,00,000

Apart from these, no claim bonus, hospitalization expense cover, and pre-medical screenings are additional advantages that one gets from such policies. However, individuals must keep certain aspects in mind before availing them to make the most of these benefits.

Points to consider before choosing senior citizens’ Health Insurance Policies

Efficacy of Medical Insurance claims

Before investing in such a policy, individuals must check both the claim settlement ratio and the time the insurers generally take to settle the claim. It is advisable to pick an insurer offering high CSR.

Availability of free look period

The free look period is the time during which policyholders have the freedom to have a free look at the insurance plan. With this particular feature, you get to understand its clauses properly and cancel them in case the terms do not match your requirements.

Furthermore, one should also check if an insurance provider has access to a wide network of affiliated hospitals, pre-existing illnesses cover, etc., before availing senior citizens of health insurance policies.

When it comes to starting a family, it’s always best to keep one eye on the future ahead. Family life insurance offers financial protection to your loved ones if you die, supporting them during this difficult time. But before you purchase cover, you need to know what options are available to you.

What is Family Life Insurance?

Family life insurance is not a specific type of policy but refers to any type of cover used to protect your family. With most types of life insurance, your insurer pays out a lump sum amount to your loved ones when you die.

Who needs Family Life Insurance?

A family life insurance policy is best suited for:

• Families – Whether you have a young family or older, life insurance can protect your loved ones from any financial burdens left on them. The pay-out can help with child support as well as future expenses like university costs.
• Single parents – If you were to die, the payout can be used to provide support for your children’s future.
• Couples – If you and your partner share an income or mortgage, you may need cover. With life insurance, you can leave your partner with enough to clear the outstanding balance if you die before it has been paid off. 

Types of Family Life Insurance

There are two main types of life insurance best suited for families – whole and term life insurance. These policies have several differences in terms of cover length and cost, so how do they work?

Whole Life Insurance

Known to insurers as ‘life assurance’, whole life insurance provides coverage throughout the insured’s lifetime. This policy pays out a lump sum no matter when the policyholder dies, however, premiums tend to be more expensive than term life insurance.

The main benefit of whole life cover is that your family is guaranteed a pay-out when you die – so long as you keep paying for premiums.

There are two main types of whole life insurance cover – balanced (also known as standard) and maximum cover.

With balanced cover, your monthly premiums and pay-out value are fixed throughout the policy length. This is especially beneficial as even when you get older or develop health conditions, your policy will still cost the same as before.

The maximum cover works much differently, in which your policy is linked to an investment fund. Each month your insurer invests the money from your premiums to fund the eventual pay-out amount.

This type of cover can be risky as if the investment fails, your insurance provider can raise your premiums to cover the cost.

Term Life Insurance

Although typically cheaper than whole life cover, term life insurance doesn’t provide permanent cover. Instead, your policy lasts for a set period, e.g 20 years or so. Your policy only pays out if you die within this time, if not your policy simply expires.

Term life cover has 3 levels of cover:

• Level term – Your policy premiums and pay-out value are fixed throughout your cover term. This prevents your premiums from being raised as you get older or develop health conditions.
• Increasing term – The payout amount increases over time to protect the eventual value from inflation. Because of this, your premiums also increase as well.
• Decreasing term – Usually taken out alongside large payments like a mortgage. As you make repayments on your mortgage, the payout value of your policy decreases. This way if you die before it has been paid off, your family can use the payout to cover the cost.

Joint Life Insurance

If you and your partner share an income, you might want to consider getting joint life insurance. A joint policy protects two people under a single policy. Popular with couples, these policies can often work out cheaper and easier to manage than individual policies.

How much cover do I need?

Nobody wants their family to struggle when they die, making life cover is a great way of providing peace of mind. Life insurance can be used to help your family with future costs such as:

• Living expenses
• Household bills
• Funeral costs
• Mortgage repayments
• Debts/loans

Before you apply for cover, it’s best to assess the financial situation of your family if you were to die. That way you can choose the right amount of cover, instead of having too much or too little than your family needs.

How much is Life Insurance?

Several factors can affect the cost of your premiums for life insurance. These are things such as age or if you have pre-existing health conditions or being a smoker. When you apply for life insurance, your provider will ask you a few questions regarding:

• Your age
• Health
• Occupation
• The type of policy you want
• The amount of cover you need

To get the cheapest life insurance premiums it’s best to take out cover when you are younger, at your healthiest. That being said, even as you get older there are other forms of life cover such as over 50s life insurance.

If you are ready to protect your loved ones with family life insurance, head online to get a quote today!

When you make the decision to become self-employed, you may feel like you are about to undertake a mammoth task. Opening your own business can be extremely difficult, but ultimately it is very rewarding. You may be faced with a lot of stress when it comes to maintaining your business, but if it is successful, you will feel extremely proud of yourself. Whilst you move forward with your self-employment, don’t forget that life insurance is still important to own. Here is why!

Protection for you and your family

Whether you work for a company or are self-employed, employee insurance will make sure you are protected when you are working. It does not matter if you are working at a computer or have more manual work to undertake, life insurance can protect you when disaster strikes. You may suffer from a life-changing injury or illness that makes it difficult to get back to work. You and your family need a safety net just in case the worst does happen to you. Make sure to protect them as well as yourself.

Make up for lack of benefits

Now that you are a self-employed person, you will experience a range of benefits, including when you have holidays, choosing when you want to work, and deciding who you want to work with. However, there are other times where you may struggle because you do not have the same benefits as those who are employed by someone else. This includes having certain types of insurance policies that will protect them should the worst happen. Employers may have “death-in-service” benefits. However, you won’t have these as your own employee. This means that if you should die at work, your family won’t be able to receive multiple payments of your salary. That’s why it is crucial that you invest in your own life insurance.

Different types of life insurance

As a self-employed person, you will have a range of life insurance policies to choose from. It’s important to choose a policy that will suit you, your business, and the type of work that you do. The most popular type of life insurance is “term-life insurance.” This is a policy that can last between five and thirty years.

The premiums for this type of insurance tend to be below if you get it whilst you are young, however, you will have to renew it if you continue to use it. If you want to go for a longer policy, you can get “permanent life insurance.” This type of insurance will not expire; however, you may find that it is a bit more expensive or the premiums may be higher.

Ongoing Debt

It can be expensive to open your own business. Therefore, it is quite likely that you may have accumulated debt whilst opening your company. This debt will pass on to your loved ones if you pass away at work. By having life insurance, the debt will be paid off. So, make sure you are fully covered.

And there you have it – everything you need to know about why life insurance is important even when you are self-employed. 

Does every month’s salary give you a feeling that your expenses are higher and the earnings are less? Do you want to earn more or save more? Is your current lifestyle and loan liability too much for you to pay?

Thoughts of having less money and higher expenditures can leave you irked. It can shake you from within if there are hardly any assets that offer security. 

When you realize that the current demands are essential, you ought to take a loan for it. But the constant pressure of paying the loan gives you enough worries. If this is the case with you, often thoughts of saving money and building securities would strike your mind.

For ages, the traditional way of creating financial security for dependents in the family is through a life insurance policy. The reason for insurance being a primary choice to pick is because it offers life security, options of savings, and tax benefits.

There’s no rocket science behind this. It is simply that a life insurance policy provides multiple benefits.

At times, tax savings is the prime intent when buying a life insurance policy. In this case, a common mindset would be to avoid spending money. This is where the alternative of a term insurance policy plays.

Let us explore more about term insurance.

What is Term Insurance?

A term insurance policy is a life insurance policy that offers financial security to the dependents of the life insured. The policy pays the death benefit to the nominee only after the life insured passes away during the policy period.

The premium for the term insurance is low but the limit of the life cover is high.

For example, Rohit, age 21 years, wants to purchase a term insurance policy for his family. He found the options and bought a term insurance policy for Rs.1 crore at just Rs.477/- per month.

• Term insurance attracts individuals because it is an affordable life insurance policy with a high life cover.
• People have shown interest in the term life insurance policy because it now covers Covid-19 life claims also.
• Buying a term insurance early in life is helpful because the premium is less when you are young. Also the premium under the term insurance policy remains the same for the entire policy term.

Term insurance plans provide you with several benefits.

Do term insurance plans provide tax benefits under Section 80C?

Yes, term insurance provides tax benefits under Section 80C of the Income Tax Act, 1961. The total amount of Rs.1.5 lakhs is allowed under the life insurance policy for the deduction. Apart from this, the total death benefit that the nominee receives is also tax exempted under Section 10(10D).

If the life insured outlives the total policy term, the life insurance policy will give you maturity benefits. The amount is to help the family gain stability after the life insured has died. This is why the total maturity amount is tax-exempted.

Other than the tax savings, there are other benefits that the term insurance policy offers.

Benefits of Term Insurance Policy:

Who buys anything without considering the benefits of it. Before you buy term insurance, these are the benefits that you can consider:

• High Life Cover at Affordable Premiums: The term insurance policy provides a large amount of life cover at an affordable premium. You can get a cover as high as Rs.1 crore for just Rs.477/month.
• Long Life Cover: The term plan gives you a long life cover up to age 100. For example Rohit, age 21 years, purchased a term insurance policy. Now he can get cover under the term insurance policy for next 79 years.
• Help Manage Loan Liabilities: The term plan helps your family pay-off the loan liabilities when you are not around. The claim amount can be used to pay financial burden liabilities like home loan, car loan, education loan, etc.
• Flexible Pay-Out Benefit: A term life insurance policy provides financial stability to the nominee after the life insured passes away. The policy provides an opportunity to the life insured to choose the payout but at the inception.

The life insured can choose the payout the nominee will receive after the death, depending on their lifestyle or financial requirements. The payout can be either in the form of a lump sum or as monthly income. This will help families manage regular expenses and other financial needs.

• Inbuilt-Terminal Illness Cover: A term insurance policy comes with an inbuilt-terminal illness cover. Terminal illness is the state that leads to death within 6 months after detection. The illness can wipe away your savings and this is where a term insurance policy will pay.
• Option to enhance cover with riders: Term insurance policy allows you to provide you with the choice to increase the scope of cover with the riders. You can pay an extra premium and get the additional cover. For example: Rohit owns a term plan of Rs.1 crore and took an accidental death benefit rider cover for Rs.50 lakhs. After 5 years of the policy, Rahul died in an accident. The policy paid him an additional benefit. His nominee will get a total of Rs.1.5 crores for the claim.

Some insurance companies provide a return of premium option. Under this, the entire premium paid will be returned if the life insured survives the policy term.

After reading the benefits of the term insurance plan, you can read about the different types of term insurance plans.

Types of Term Insurance Policies.

There are six different types of term insurance policies that you can consider as a feature before buying the plan.

1. Level Term Plans: This is the most simple and the basic type of term insurance plan under which the sum assured remains the same throughout the policy tenure. The benefits will be paid to the nominee after the death of the life insured.
2. Increasing Term Plans: Another plan option is increasing term plans in which the life insured has the option to increase the sum assured annually. The premium amount will remain the same.
3. Decreasing Term Plans: Under the decreasing term plans, the sum assured will decrease to meet the requirements accordingly. A decreasing term plan helps when the policyholder has to pay the loan or other EMIs.
4. Return of Premium Plans: The plan comes with a maturity benefit in which the life insured will receive all the premiums paid. The benefit applies only when the life insured survives the policy term.
5. Term Plan with Riders: It is a term plan which is easily expanded with rider covers. Riders are additional covers that can be included after paying extra premiums. Some of the riders that you can think of buying include accidental death rider, accidental death and disability rider, critical illness rider, hospital care rider, surgical care rider, and waiver of premium rider.
6. Convertible Term Plan: This term insurance allows policyholders to convert the existing plan into other types. For example, Rohit can convert his term insurance policy into an endowment plan after a few years.

Conclusion:

Amongst all life insurance policies, the most suitable and affordable option is to look for the best tax saver term insurance plans. The term insurance applies for a specific period through which you can expect the tax savings. All the premium you pay for a term insurance policy is eligible for a tax deduction. When it comes to tax planning, many individuals opt for deductions under Section 80C of the Income Tax Act, 1961. For more details on term insurance and tax benefits.