HDFC Life Sanchay Plus is a Non-participating traditional life insurance plan. That means the payouts are guaranteed. There is no market risk or risk associated with varying annual bonuses. You know upfront what you are getting into. Moreover, it is a deferred payout plan i.e. maturity value is paid over a period of time. Let’s find out more about HDFC Life Sanchay Plus and … [Read more...] about Review: HDFC Life Sanchay Plus: The good and the bad
LIC has recently launched a new participating LIC Navjeevan plan in March 2019. It is a non-linked participating traditional life insurance plan. Regular readers will know that I am not a big fan of traditional life insurance. You get low life coverage and poor returns. By the way, this has nothing to do with LIC. Such plans from private insurers come with similar issues … [Read more...] about LIC NavJeevan Plan: Why the plan is structured this way?
In an earlier post on claim settlement ratio, I had delved into claims data of health insurance companies for FY2018. In this post, let’s look at the claims settlement ratio for the life insurance companies for FY2018. Understanding claims settlement data for life insurance companies is relatively easier since the insured event (death of the insured) is quite crisp. There … [Read more...] about Claims Settlement Ratio of Life Insurance Companies (FY2018)
While selecting an insurance plan, the first filter you apply is on the Claims settlement ratios. Lower the claim settlement for a company, the more you are likely to stay away from the company. IRDA came out with its annual report for FY2017-2018 in January 2019. In this post, let’s look at claims data of health insurance companies for FY2017-2018. Claims Data is presented … [Read more...] about Claims Settlement Data of Health Insurance Companies (FY2018): How to interpret?
Mis-selling is not just about selling bad products to the consumers. It is also about selling good products the wrong way. In a way, selling any product that is not suitable for the consumer/investor is tantamount is mis-selling. Selling a life insurance plan to an 80-year old who walked into the branch to open up a fixed deposit is mis-selling. Selling regular premium ULIPs … [Read more...] about LIC Jeevan Shanti: A case of mis-selling?
The topic of this post may seem odd, given what I regularly write about ULIPs. I advocate mutual funds over unit-linked insurance plans (ULIPs) and for good reasons. I do not deny bias though. I wrote a detailed post comparing mutual funds and ULIPs and showing why I prefer mutual funds over ULIPs, despite ULIPs enjoying far superior tax treatment as compared to mutual … [Read more...] about How to select the Best ULIP (Unit Linked Insurance Plan) for your portfolio?
Many of us have more than one health insurance policies. And I receive a number of queries over e-mail and as comments in my blog post about discontent with claim settlements for two policies. Many have a grievance that the insurers did not settle as they expected and they had to pay the balance from their pockets. I had done a post on the pros and cons of having multiple … [Read more...] about How claim is settled if you have two Health Insurance plans?
The need for adequate health cover is not lost on many. However, selecting a health insurance plan that suits your requirements sounds daunting to a lot of people. There are many parameters to be considered before you select a health insurance. Not just that, health insurance plans come in many variants i.e. individual, family floater, top up, super top up and so on. One of the … [Read more...] about How Room Rent Sub-limit can affect your Health Insurance claim?
One big advantage that ULIPs have over equity mutual funds is that the maturity proceeds from ULIPs are exempt from tax. On the other hand, the long-term capital gains on the sale of equity mutual funds are taxed at 10%. LTCG on sale of debt mutual funds is taxed at 20% after indexation. In an earlier post, I highlighted why I still prefer mutual funds over ULIPs. I don’t deny … [Read more...] about If you are old, avoid ULIPs
LIC launched a new annuity plan LIC Jeevan Shanti in September 2018. LIC Jeevan Shanti comes in both immediate annuity and deferred annuity variants. A point to note is that LIC already has a very popular offering in immediate annuity space (LIC Jeevan Akshay VI). LIC Jeevan Shanti is quite like LIC Jeevan Akshay. The only major difference is that LIC Jeevan Shanti also has a … [Read more...] about LIC Jeevan Shanti: Single Premium, Guaranteed Pension (Features and Review)