Looking for the best insurance plan online can sometimes be a long struggle. With an increase in the number of insurance plans offered by various insurance service providers, users are often confused as to what is the right insurance plan for their individual need. Cheaper plans are not necessarily the best plans if they are being offered by a company that has a poor claim settlement record. Seeking the review of an insurance agent may also not be the best idea as a number of insurance agents have been guilty of wrong selling in the past offering clients the policy in which they get the maximum benefit. Let us look at some of the factors that must be kept in kind before finalizing the insurance company and a list of most popular term insurance plans in 2014.
Compare Premiums:
Comparison of premiums must be the first step towards selecting the right life insurance policy. Filing for online insurance plans come with their intrinsic advantages as premium of online term insurance is substantially lower than offline term insurance. Not only does the insurance company save on insurance commission by cutting out a broker or insurance agent, online application lowers the overall administrative charges making the premium as low as 30 to even 50% in some cases.
Focus on reputation of insurance service provider:
The reputation of the insurance company is of paramount importance while selecting the right insurance service provider. Companies like LIC, ICICI Prudential Life, and HDFC Life Insurance are better ranked in terms of professional work ethics and management compared to some of the others like AEGON Religare and IndiaFirst.
Choose an insurance company which has better claim settlement ratio:
Claim settlement ratio must be kept in mind before finalizing an insurance company. What is the point of having insurance with a company that is notorious for giving a hard time in releasing claims and offering a bad experience for your family members in case of your untimely demise. IRDA the insurance regulator publishes a claim settlement ratio list of each insurance company in its annual report. As per the report released in 2012-13, AEGON Religare had the lowest Claim Settlement Ratio (Amount) at 57.6 while LIC had the highest at 95.66.
Popular Term Insurance Plans in 2014:
· LIC’s Amulya Jeevan- II: LIC’s Amulya Jeevan- II continues to be a popular term insurance plan making it a bestseller in 2014. The LIC’s Amulya Jeevan- II plan offers no maximum limit on cover and accepts premiums at both yearly and half yearly time periods. The policy even provides a grace period of 30 days for missed premium. The minimum sum insured in the policy is limited to Rs.25, 00,000 while there is no upper limit. The maximum cover ceasing age is 70 years and the policy term ranges from 5 years to 35 years.
- ICICI Pru icare II Term Insurance Plan:ICICI Pru icare II Term Insurance Plan offers users the option to choose death benefit equal to sum assured or Rs. 50 Lakhs whichever is lower. Premium is accepted on a monthly, half yearly and annual basis. The policy is one of the rare term insurance policies that also accept one pay model where users pay a single premium.
- SBI life Smart Shield:SBI life Smart Shield is a popular traditional term insurance plan available with level term assurance, increasing term assurance at 5% annually as well as decreasing term assurance as a loan protective measure.
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