Points To Consider While Choosing Different Types of Insurances?

We take insurance to provide financial protection to our property, belongings, life and health. The insurance company will provide compensation if something will happen to the insured property or person. This will also provide financial and mental support to your family.

Choosing an insurance company is a difficult task as there are 57 insurance companies working in India and all of them are offering fascinating deals. They will give you a high sum insured, low deductibles, various discounts, and many other facilities. But this is completely your choice to spend your money on the best among all of them.

There are so many insurance plans available from numerous companies but you can always take help from experts or check for online quotes. There are some major insurance products available in the market:

Life Insurance: in India there are a total of 24 life insurance companies recently working in India. Among these 24 companies LIC is the only public sector company and rest 23 are private insurance companies.

In Life insurance you have to pay a certain amount of money annually and the insurance company will provide the total sum insured. Life insurance provides coverage of the life and provides a specific amount to the family of the insured person after his demise.

Top 5 Life Insurance Companies in India are:

  • LIC Insurance Corporation of India.
  • ICICI Prudential Life Insurance.
  • SBI Life Insurance.
  • HDFC Standard Life Insurance.
  • Max Life Insurance.

Health Insurance: There are a total of 26 health insurance companies working in India. For health insurance we have to pay an annual premium and can take the Mediclaim whenever required. Further it is not necessary that you have to take a claim every year, if you do not take any claim for a year, then your sum insured will be increased for the next year. Health insurance will provide financial compensation for the expenses caused due to health-related emergencies in the family. It will cover all your medical expenses such as surgery cost, medicine, room rents, transportation, OPD, daycare facility and maternity operation cost.

Top 5 Best Health Insurance Companies in India are:

  • Apollo Munich Health Insurance Company Limited.
  • Star Health & Allied Insurance Company Limited.
  • ICICI Lombard General Insurance Company Limited.
  • Religare Health Insurance Company Limited.
  • Cigna TTK Health Insurance Company Limited.

Auto Insurance: Auto insurance will reimburse the financial loss caused due to the damage or theft of insured vehicles. Insurance will also provide the medical expenses for damaged passengers, loss of property of another person, damage to the vehicle due to natural calamities and repairing cost of a totalled vehicle. There are a total of 21 auto insurance recently working in India. These insurance companies will provide various coverage options as per the requirement of the customer.

Top 5 Auto Insurance Companies in India are:

  • Bajaj Allianz General Insurance Co. Ltd
  • Bharti AXA General Insurance Co. Ltd
  • HDFC ERGO General Insurance Co. Ltd
  • ICICI Lombard General Insurance Co Ltd.
  • IFFCO TOKIO General Insurance Co.

Marine Insurance: Marine insurance will cover the losses caused due to marine perils. It will cover riots, explosions, ships captured by pirates, the collision of ships with rocks and damage due to enemy attack. There are more than 750 marine insurance companies working in Mumbai. These companies will provide financial protection for the cargos, ships and passengers. 

Top 5 Marine Insurance Companies in India are:

  • Bharti AXA General Insurance Co. Ltd
  • ICICI Lombard General Insurance Co Ltd.
  • New India Assurance Co. Ltd.
  • United India Assurance Co. Ltd.
  • HDFC ERGO General Insurance Co. Ltd

Disability Insurance: Disability insurance will cover the risk of lost income due to any temporary or permanent disability. This insurance will cover your medical expenses along with providing the loss income at the time of disability. Disability insurance is somewhere different from health insurance as health insurance will not pay for your lost wages.

Top 4 Disability Insurance Companies in India are:

  • Max Bupa
  • HDFC Life
  • ICICI Lombard
  • PNB MetLife Insurance

Points to remember while taking any insurance policy

  • Don’t forget to compare quotes of all the policies coming in your mind or any known have suggested you and go for the one that suits your coverage requirement.
  • Make sure that you can afford the premium amount easily and it will not impact your other expenses. If you forgot to pay the premium on time then your policy will lapse and no insurer will allow you to reinstate it again.
  • Do detailed check for the claim settlement ratio, coverage provided, incurred claims of a particular company on the main website.
  • You can also take a review of your friends and family members if they are a customer of that specific insurance company.
  • Take necessary precautions and provide correct information while purchasing any policy so that it would not hassle your claiming process.
  • Take a proper brief about related types of insurance and purchase the one that will fulfil your necessities.
  • For commercial or corporate policies, you can also opt for customized plans or choose for various combinations as it will reduce your premium and provide optimum safety.
  • Always look for basic discounts and benefits.
  • Check whether it will help you in tax deduction or not. If not then go for the higher premium to get tax benefits.
  • Check whether the company is sufficient to provide proper service and timely claim settlement.
  • In case of health insurance, check for waiting periods of a specific disease, capping and no sub-limits. Also inform you of any pre-existing medical condition of the person.
  • Take health insurance at an early age as it will cost less and provide more sum insured at your old age.
  • Insurance is a repeated expense, so you should choose for the company that will work on an online platform. It will make it easy to pay your premiums on time and you don’t have to roam around in multiple offices.
  • Check for an easy and hard copy free claim settlement process, so that you don’t have to carry hard copies for the lengthy process and stand in queue.

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