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WHY HEALTH INSURANCE PLAN FROM SHUBHBANK IS A GREAT DEAL

Posted on Thursday April 16th, 2020

Nowadays, with an outbreak of COVID-19 all over the world, every individual have realized the importance of health insurance in their life. A Health Insurance Policy is a necessity of modern times as it provides you the financial protection in big medical emergencies or routine ailments. It has become priority that we simply can’t live without blaming it on high rising healthcare facilities. A health insurance plan covers cost of an insured person’s medical expenses in the hospital. As we know, health complications grows more as we grow older so it is better to start it at early age because most of the insurance companies charge lower premiums from the young. So choosing a right med claim policy can be a tough and mind boggling. Here are some essential factors to inform you why health insurance plan from ShubhBank is a great deal to reap the good benefits.

1) Co-Pay term: It is the fixed percentage of hospital bill you have to pay out from your own pocket. For instance, if your plan has a 20% co-pay clause, you have to pay Rs. 200 on a bill of Rs. 1000 and rest will be paid by insurer to the hospital. If you choose a no co-pay policy then you don’t have to burn a hole in your pocket.

2) Coverage Duration: Most of the individuals do not require any medical assistance till the age of 40, so always choose a plan that provides you lifelong coverage. This way you can keep the financial worries far away when your health begins to deteriorate as your hairs grow grey.

3) Waiting Period: Be aware, the expenses related to your pre- existing disease will not be covered in policy from the day you buy the policy. In such cases, you have to wait for a specific period. Before you apply for Health Insurance Plan at ShubhBank, make sure to check the duration of waiting period to get covered for the ailment you are suffering from.

4) Rent of Room: The kind of room you get admitted in hospital matters incredible as your health insurance is concerned. Always check the sub limit on room rent because if you exceeded it, the insurer will end up reducing the sub limits for other medical expenses.

5) Pre and Post Medical Expenses: Pre medical expenses will cover all the series of medical tests of insured person before getting admitted to a hospital while Post medical expenses cover all the charges incurred by a person after getting hospitalized.

At the end, we can say that if you know your policy better, then there are greater chances of claiming benefits from your insurance company. Before you sign up for health insurance from ShubhBank, we advise you to read the terms and conditions carefully, check the list of inclusions and exclusions, compare the different policies offering different benefits and choose the right one that suits best to your requirements and make a wise move.


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WHAT IS THE NEED OF TERM INSURANCE PLANS IN LIFE?

Posted on Monday February 10th, 2020

It is an insurance policy that provides the fixed coverage to the insured for a fixed period of time at fixed rate of payments. In any causality or demise of the person during the policy term, the insurer pays a pre-decided amount of money to the nominee. Some insurance companies in the market also provide coverage in case of full or partial disability. Don’t take it as a financial instrument to generate wealth during the lifetime. The policy holder pays a certain amount of money annually as premium since the start to end of the policy, and in case of death or disability resulting in loss of regular income; the insurer pays coverage to the nominee either as one-time payment or in lump sums. Let us understand the better way that what is the need of term insurance in life?

Availing this insurance will benefits the family dependents of insured person even after they are gone. Every person who has dependents in their family such as parents, spouse, and children should definitely by a Term Insurance Plans. It is catered especially for those who are only one to earn bread and butter for their families and have dependents that will face the money crisis after your job loss or demise. The coverage amount received from policy in that case can be used for daily expenditures, higher studies or wedding expenses of their children.

Features of a Term Insurance Policy
The key features of this insurance plan which one should look for before buying it are:

Assured Sum
Assured sum in the plan is the amount of money that is payable to your nominees/dependents after the insured person’s demise.

Age
Every person in the age bracket of 18 to 65 is eligible to Buy a Term Insurance Plan.

Maturity age of Insurance
The age at which an insurance policy expires is known as maturity age of the policy. Generally, most of the policies have a maturity age of 75 years but a few may even go up to the age of 85 years.

Policy Tenure
The duration for which an insured has coverage is known as the tenure of the policy. For instance, if a person having age 40 years want to opt for a term plan with a maturity age of 75 years, then, in this case, he will have tenure of 35 years. The tenure period of a term plan may range from 10 years to 40 years depending upon particular insurance company.

Claim Settlement Ratio
Before choosing a term insurance plan, you must ensure that you are buying it from an insurer who is offering a higher claim settlement ratio. This ratio implies the percentage of claims that the insurer offers to policy holder, so one must choose an insurance company on the basis of its claim settlement ratio.

Health Check-ups
The insurer may ask you to undergo some health tests while applying at a certain age or in need of high insurance cover.


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HOW INSURANCE POLICY CAN FETCH YOU A LOAN

Posted on Monday January 20th, 2020

Generally, a Life Insurance cover is purchased to safeguard the family in the event of the untimely demise of the bread earner. However, today it is not just restricted to risk cover, but can also help you in securing a loan. You always have an option to secure a loan against your insurance policy. Let us see in the further article that How Insurance Policy Can Fetch You a Loan in hours of need.

One Should Consider Loan against Insurance Policy
The advantage of a loan against insurance features fast approval and requires minimal documentation and has lower chances of rejection. Another attractive benefit is the interest rate, which is lower than any unsecured loan. This also comes handy for individuals having low credit score.

How to Apply For a Loan
The most important step is to go through your policy documents for details and find out what amount you are eligible for by asking your insurer.Once you complete the formalities, your loan will be assessed and your insurer will get in touch with you for transferring the rights to the lender. This usually takes 3 – 4 business days. Once the process is completed, you’ll get your loan money.

How to Check Your Policy’s Eligibility to Secure a Loan
Many lending institutes provide a loan against the surrender value of Life Insurance in India. There are some additional terms and conditions attached to your policies when it comes to avail a loan. For example, your policy acquires the minimum surrender value only if you have paid premiums for at least three years and can get a loan only after completing three years.

How Much Loan You Can Avail
You can avail up to 80-85% of the surrender value of traditional insured plans with guaranteed returns. The guaranteed value is the minimum eligible loan quantum that would be available to you and calculated as 30% of the total premium that you have paid, deducting the first premium whereas maximum value will depend upon the surrender value and the cash value of bonuses that you get. The maximum loan amount is usually decided by the actuarial of the insurance company. Some of ULIPs, which provide a loan facility, will offer money that depends on the current corpus value and the nature of fund in the plan. In a loan against insurance, the borrower’s income is a criterion for loan eligibility but the CIBIL score of the borrower will be considered.

Repayment of Loan
The maximum loan tenure offered is up to the tenure of the policy. The repayment period can either go on for the policy tenure or can have fixed number of years for repayment. Like traditional loans, these loans can also be pre-paid without any pre-payment penalty. In case you fail to repay your loan, then your policy will lapse.

Things You Should Keep In Mind
If you default on loan against insurance policy, your family will not get benefits of the policy cover. This is because the lender has the right to claim the maturity amount.