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Overview Life Insurance in Indore

Indore is a famous city in North India in the central state of Madya Pradesh. It has a rich culture and is also a very famous food destination boosting the tourism industry. It is a rapidly growing city and is also included in the smart city list under the smart city mission of the Government of India. The city is also the most populous city in Madhya Pradesh and has a huge historical, economic and political importance in India.

Being a populous city, the life insurance industry has a huge prospect of growth. But even today, access to good life insurance plans is limited for residents of Indore. This can be on account of various reasons like financial conditions of the people, lack of knowledge of life insurances, limited access to online or offline mode of contacting insurers, etc.

Given below are a few details related to the life insurance industry in the city of Indore.

What is life insurance?

Life insurance is the most common type of insurance available to the residents of the country. This insurance is available for many decades in the Indian market but the importance of this investment option is ever increasing. In today’s world life has become quite unpredictable and hence it is advisable for every individual to have a sound life insurance plan for securing their future and that of their family members.

What is the need for life insurance in Indore?

Even in today’s world, there are many who think life insurance to be a dead expense and not an important one. On the contrary, it is a very essential investment that can be used to provide a safety net for the family’s future as well as build a corpus fund along the way. There are several reasons why having sound life insurance plans are essential. Some of such reasons are mentioned hereunder.

Coverage for self and family

Having life insurance provides the benefit of cover for the entire family. This coverage can be used to secure their financial future and also earn returns on the investment along the way. The amount of coverage should be enough to cover the expenses of the family after accounting for the inflation.

Tax benefits

The tax benefits on the premium payment for the insurance policy are eligible for tax deductions. The amount of tax deduction under section 80C for life insurance premium can be claimed up to Rs. 1,50,000.

Earn returns on life insurance corpus

There are many life insurance plans that provide the benefit of earning market returns. These policies give the benefit of insurance as well as investment. The corpus fund from the policy can be used to meet the long-term financial goals of the individuals or their family members in the event of the death of the policyholder.

Additional benefits in the form of riders

Insurers provide additional benefits in the form of riders. These riders can be used to get additional cover at a relatively lower charge than getting a new cover. Such additional benefits help in getting an overall cover for the individuals and their family members.

Coverage for life

The coverage provided by the insurers is for a fixed tenure. This tenure can be for a minimum period of 5 years to usually 40 years or till the policyholder attains the age of 99 years. Insurance coverage should be adequate in order to provide the benefit of insurance at the time when it is needed the most especially at the time of retirement.

Better plans and coverage at lower premiums 

Insurance plans can be available at minimum premium payments. These premium payments can be made at flexible intervals. The interval for the premium payment is agreed upon between the insurer and the policyholder at the time of getting the policy. Any default in premium payment will result in losing the benefit of cover.

Early investment benefits

It is advisable to get an insurance plan at the earliest stage of life. Individuals in the prime of their age are considered to be of relatively lower risk. This reduces the amount of premium to be paid for the high coverage required to cover all the financial costs of the family. Many plans also provide cover for newborns as a rider or part of the extended cover.

Protection against loans, external debts, etc.

Life insurance can be used as a safety net against any financial stress like loans or external debts, etc. This helps in reducing the burden of the family in the event of the untimely death of the policyholder.

How to make a life insurance claim in Indore?

With the advance in technology, the process to make an insurance claim as well as settlement of the same has become quite simple and quick. Policyholders can make the claim for life insurance through either online mode or offline mode at the time of maturity of the policy or upon the death of the policyholder. The process for the same is mentioned below.

Offline mode

The process for making a life insurance claim through offline modes require the policyholder to download the claim application form from the website of the insurer or get it from the nearest branch office of the insurer. This form has to be duly filled and submitted at the branch office along with the necessary KYC documents. After this, the claim will be duly verified and processed after a thorough review. The claim settlement after approval has to be cleared within the specified days as per the guidelines of the insurer.

Online mode

The online mode for the claim settlement process is mentioned below.

  • The online form for claim settlement is available at the website of the insurer.
  • This form can be submitted online in the case of few insurers along with the required set of documents.
  • The insurer will be settling the claim after due verification of the form and the documents submitted.
  • The processed claim will be credited to the account of the policyholder or their legal heir within the specified number of days. The claim settlement period varies for different insurers.

Life Insurance in Indore FAQs

1. What is the minimum age for entry for life insurance?

A. The minimum age for entry for life insurance is 18 years.

2. What is the maximum maturity age for a life insurance claim?

A. The maximum maturity age for a life insurance claim is 60 years to 99 years as per the policy terms and conditions and the guidelines of the insurer.

3. Who is a nominee in a life insurance policy?

A. Nominee/nominees are the people who are eligible for the claim under the life insurance policy in the event of the death of the policyholder.

4. Can a person get a loan against life insurance?

A. Yes. Most banks provide loans against the life insurance policy. The amount of loan can be between 75% to 90% of the policy value.

5. Can life insurance premiums be paid on monthly basis?

A. Yes. Life insurance premiums can be paid at flexible intervals including on monthly basis.

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