There are many advantages of buying a term insurance plan early on in life. It costs less and is easier to find. We discuss many such reasons in this article. Firoz was on the threshold of his 33 birthday. He was also getting married in 6 months’ time. Being a carefree person thus far, Firoz had never considered the need for getting insured. But with age catching up with him and more responsibilities on the way, he knew the time was right for him to buy a term plan. He had to act fast, though. Term plans would cost a lot more in a few years. So without wasting any more time he got himself a comprehensive term plan. It is very important for you to buy a term plan early on in life. Why do you...
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Ensure that the claims process of your term plan is not painful for your family by avoiding these mistakes while buying the term insurance plan. Do you know that a minor mistake can lead to a claim rejection of your term plan? And you do not want to compromise the financial security of your family just because you were unaware of some facts. Read on to know about common mistakes while buying the term plan. Incomplete Disclosures A very common mistake that people make with respect to term insurance policy plan is non-disclosure of medical facts. In term insurance, there may or may not be pre-medical check-ups. But when you are filling the form, the company could ask for medical information....
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” I was told, my money would double in 3 years! Why has it not doubled?” yelled Mr. Gupta. Mr. Gupta, a customer of ABC Insurance Company, who bought a ULIP policy 3 years back, without knowing the proper features of it. He was told by his insurance agent, that his money would double in 3 years time. So here is Mr. Gupta, demanding for the money that was suppose to “DOUBLE”. I’m sure at least 75% to 80% of you have gone through the same situation, where you were promised or guaranteed that your money would double 3 to 5 years, from the date of taking the policy. Yes, who wouldn’t get excited knowing that you will get double of what you invested, but there...
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Life is unpredictable, and you cannot say what will happen in your life in the future. It is one reason that makes the prospect of buying a term insurance plan appealing. A term plan will help you keep your family secure and financially stable even in your absence. Nowadays, you can also opt for getting survival benefits with some of the best term insurance plans available online as well as offline. However, there is one common myth prevalent amongst some people in India related to term insurance. It says that an individual who is suffering from pre-existing diseases is not eligible to buy a term plan, which is not entirely true. Just like sudden death, critical illnesses may also come...
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Life has a funny way of sneaking up on us. Like the time you received a Facebook invitation to attend your high school’s ten-year reunion, and you had to ask your mom if you could borrow her car. Or when your girlfriend unexpectedly moved out, and you didn’t know why, until she reminded you it had been five years since you asked her to marry you. Not that these things ever happened to us, of course. Protecting your family with term life insurance can sometimes sneak up on you, too. Perhaps you’re a new parent, and you suddenly realize you need coverage. Or maybe you accidentally let your policy lapse, and now it’s been a year and you’re still not covered. It happens — we...
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This insurance buying “philosophy” has been preached many many times by some of the top personal finance gurus and authors, especially those from foreign country. What I am talking about is the technique of buy term and invest the difference (BTID). I haven’t written anything about it, yet. Mooi (a blog reader and a regular forum contributor) actually asked this question in the forum. There is a very interesting discussion. You should really take a look at the forum post about what we’ve discussed so far. In this post, I will share my view about the reality and practical part of making use of this well-known strategy. Story about Jack and Marry Jack and Marry are...
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Leave nothing to chance! Check for these 4 things when buying a term plan. It was that time of the month again! It was time to pay the monthly bills. That evening, over a cup a coffee, my wife and I sat down to figure out our expenses. We wanted to know, where does the money go! Here’s a glimpse… Contemplatively looking at the list of expenses, my wife anxiously asked, “Hardly much is left, isn’t it?” “I know,” I said, “But I have been thinking. We really need to buy insurance.” “What! Are you serious?” she said in a vexing tone. “Don’t we have enough expenses already? We will think about insurance later” Trying to make a point, I said, “For a moment, just think if something were to happen...
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