Secrets to Buying Your Life Insurance comes from my years of practical life insurance selling and financial planning. With my certification as CFP, I have the ability and the knowledge and in this article, I am attempting to share my secrets to give you the ideas to enable you to start planning to buy your very own life insurance for your own self, without the aid of any agent or advisor.You should be able to not only save a lot of money but be able to take your own decisions, independently and without any bias or influence. This is important and critical for your financial planning and can have major repercussions, both cost wise and long term savings may get hit also. Wrong decisions can turn out to be bad decisions years later with little or no room for change options. So be very clear and sure of your important decisions today and then feel happy about these decisions. Here, no one can influence you or force you to buy something which benefits someone else and may not be in your favour. Feel good, Be happy and may you never have to “use” your Policy!
Insurance is the subject matter of the solicitation, is what you have heard about. May be, you have never heard of exploring your own options of “buying” insurance. Hence, this article opens up the secret to plan and buy your own self planned life insurance policy, without the need and help of anyone at all.
Your life insurance is the need for protecting your income and financial goals, in terms of financial security, should anything happen to you. You need to calculate this amount based on your income and future loss compensation. With this amount in mind, lets say Rs. 1 crores, now you need to find out the best and most suitable option to get your life insurance.
Let’s look at an online option for those whoa re net savvy and are used to net transactions. You need to take care of some very important pre and post precautions to ensure you buy the most appropriate and actually useful insurance policy.
Look at insurance companies, which have great track records, in terms of claims paid out ratio. While the brand is important, but not the least important! Look for basic pure insurance called as term insurance from these on-line options of the insurance companies and no other options and add no other options as riders, when asked.
Now comes the online application, wherein you have to complete all information like your name, email, contact details as well as personal details like height, weight, medical history, current and past illnesses or operations or surgeries undergone correctly and honestly. Disclose all the material information and don’t expect the insurance company to find out any such critical factors during medical tests, if any. Lifestyle realities like your smoking or drinking should be correctly informed and other professional hazards be declared like your flying or diving occupational hazards.
Don’t expect the same premium that you see online as that may change after you submit or after the test happen, and this may be taken as normal. What you need to understand that what you should have compared (and cannot actually), is the final with taxes all-inclusive premium for you. What you saw online quote from different insurance companies was just an estimate for an ideal height-weight person and this may vary after your submission.
Now, if you have undergone all the tests and documentation and have received the policy in hand, you need to check for all your personal details being mentioned correctly on the “policy schedule” page and the “Policy Bond” as these two are the most important documents for all claims purposes. Check for your email, mobile, nominee, spelling details and ensure updating regularly.
With may experience, I would like to share the most important secret! It is the material fact sharing in your application and how honestly have you declared it while applying. Hiding any such information can lead to claim being rejected and the whole purpose getting defeated later. Keep updating your insurance policy as even every five years, technology changes and so does your financial fact-sheet and liabilities also.
To conclude, do your best in selecting and choosing your insurance policy and now onwards don’t worry too much. Have a great life, feel good to have taken such a wonderful decision and rather feel proud to be in possession of an asset like paper in hand
Author: Taresh Bhatia, is a CERTIFIED FINANCIAL PLANNER CM. Taresh Bhatia is the Chief Financial Planner at Advantage Financial Planners LLP where he provides fee-only financial planning advice. He has helped over 282 families plan and organize their financial life so as to move positively towards their financial goals.
Taresh is an expert on financial advice and has over 26+ years of industry experience. He makes you do more with your money and is professionally qualified to do so. His advice financially empowers you with systematic savings and Goal tracking.
Among his qualifications, he is a CFPCM–CERTIFIED FINANCIAL PLANNER and an MBA from IMI, New Delhi.
Taresh is the Founder and a Partner in M/s. Advantage Financial Planner LLP, a firm registered with SEBI as “Investment Advisor” (RIA). He is also a member of The Financial Planners’ Guild, India (FPGI), an association of Practicing Certified Financial Planners.
His contacts are: Taresh Bhatia Mobile: +919810144683. OFFICE: +91124-4502200