Insurance regulator IRDAI on Monday asked life insurers to provide their customers an additional window of up to 30 days for paying renewal premiums in view of disruptions caused by lockdowns after the coronavirus outbreak. "In case of health insurance policies, the insurers may condone delay in renewal up to 30 days without deeming such condonation as a break in policy," said the Insurance Regulatory and Development Authority of India (IRDAI) in a circular. In case of life insurance policies, there is a grace period for payment of renewal premiums, it said, and added insurers have been asked to enhance the grace period by additional 30 days if desired by the policyholders. To prevent the...
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Any amount received from any life insurance companies is totally tax free is one of the most common presumptions of the taxpayers. This is not entirely correct. Amount received from life insurance companies (including bonus) is tax free u/s 10(10D) of the Income Tax Act- 1961, except following receipt: (a) any sum received u/s 80DD(3) or u/s 80DDA(3); or (b) any sum received under a Keyman insurance policy; or (c) Any sum received in respect of any policy issued, (i) between 01.04.2003 to 31.03.2012, if the premium in any years exceeds 20% of the actual capital sum assured (ii) After 01.04.2012, if the premium in any years exceeds 10% of the actual capital sum assured. However, if the...
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Whole Life Insurance is the gold standard of life insurance policies. This type of permanent life insurance is one of the most misunderstood financial products on the market today. In addition to providing a guaranteed death benefit for life, typically with guaranteed level premiums for life, whole life policies develop significant guaranteed cash values over time which the policyholder can access. And the policy’s cash value grows year by year, guaranteed as well. Those guaranteed cash values are usually enhanced by dividends which are declared annually by the insurance company. Premiums can be structured to stay level for as long as you live. Or, if you wish, they can be paid over a...
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NASHVILLE – The Tennessee Department of Commerce and Insurance (TDCI) reminds consumers of a life insurance claims return tool that has found $6,808,924 in life insurance benefits for Tennesseans since January. The Life Insurance Policy Locator Service, which has been available since 2016, was developed by the National Association of Insurance Commissioners (NAIC). The service enables beneficiaries, executors, or legal representatives of a deceased person to locate life insurance policies and annuity contracts of their late family member, client, or friend. “Handling the financial affairs of a deceased family member or friend can be overwhelming and emotional,” said TDCI Commissioner and...
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How does your life insurance loan program work? Our loan is secured solely by your life insurance policy. There is no other asset we need and your credit history does not matter. We will loan you a percentage of your death benefit today and those funds can be spent however you desire. There are no out-of-pocket fees or expenses with our loan and the interest is not paid out of pocket. Our entire loan ultimately gets repaid from the death benefit of the policy. The difference between the loan and the death benefit will go to your beneficiaries. Who pays the life insurance premiums of my policy going forward? Life Credit Company will pay all of your policy’s future life insurance premiums....
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If your family doesn’t know about your life insurance policy, things may not go so easily for them following your death. Life insurance offers a lump sum payment designed to help ease the financial load following the loss of a primary income. But if your family doesn’t know that policy is there, they can’t make the most of it. After all, in 2012 alone there was some $52 million in unclaimed life insurance. It seems a shame to invest in life insurance, only for your family to not benefit from a payout. So it may pay off, literally, to let your family or beneficiaries in the details of your life insurance policy. That way, they can more easily get the ball rolling on a potential claim. Life...
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Life insurance Decide if you need life insurance Life insurance can help your loved ones deal with the financial impact of your death. The death benefit paid from a life insurance policy is a tax-free, lump-sum amount that can be used to: replace your income so your family can maintain their standard of living provide for your children or dependents pay for funeral expenses You may also choose to leave the money to your estate or to a trust. Term life insurance Term life insurance pays a death benefit if the person insured dies within a specific period of time or before you reach a certain age. The length of your coverage can be either for: a fixed period of time, such as a term of 10 or...
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Life insurance is important especially when you have dependents. Should you pass away, you don’t want to pass the financial burden of hospital bills, funeral costs, and debts on them. Therefore, you need to choose a life insurance company and a policy that is suitable for you and pay your premiums. In this way, if you die, your family will receive a lump sum payment, which they can use to support themselves, ensuring that you can still take care of your loved ones after you’re gone. It is never too late for life insurance even at 65 or 70 years of age. According to data collected by the Center for Disease Control and Prevention (CDC), once you reach the age of 65, you can expect to live...
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Universal Life Insurance | FOSS Advisory Universal Life Insurance An increasing number of affluent families are taking out universal life insurance (ULI) as part of their global estate planning and wealth structuring. Due to the large insured amounts, universal life insurance is also referred to as 'jumbo life insurance' or 'jumbo universal life'. Simply put, universal life insurance is a life insurance policy that offers very high death coverage, both as a percentage (often over 300% of the premium paid; e.g. you pay a premium of USD 3 million and the beneficiaries receive USD 9 million or more at demise) and in absolute numbers (sometimes over USD 90 million), hence the label 'jumbo life...
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Types of Term Insurance Offers flexible, convenient and affordable coverage—best of all, you can apply online! If you need less than $500,000 in coverage, RBC Simplified Term Life Insurance is an easy way to help give your family the protection they need. Death Benefit If you die during the time period when coverage is in effect, your policy provides a tax-free death benefit in the amount of your coverage to your beneficiaries or your estate. Summary of Exclusions During the application process, if we are given incorrect or incomplete information regarding health, lifestyle or smoking habits, we reserve the right to deny your benefit. Offers substantial coverage amounts with the flexibility...
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