Page 42 - Insurance Times April 2021

INSURANCE-

BUYING

TECHNIQUES AND

UNDERSTANDING

THE POLICY

T he Indian Insurance market is phenomen only survives the policy period or his dependents in the event of

composed of Life Insurance Companies, General
his untimely death or disability. The problem that many
people face when seeking to buy insurance is deciding which
Insurance Companies, Health Insurance Companies
and some specialised insurance companies taking
care of some special requirements of the society. The other policy(s) to buy now!
category which can be substancially narrated as Government, Below are some tips that may help you select the right
Private sectors and Foreign enteties. insurance product for your needs:

The major role of insurance is to pay some money, to make If you own a motor vehicle or you are an employer, always
some repairs, to replace a destroyed or stolen property or ensure that you buy the compulsory motor vehicle third
to replace to some degree lost incomes following the death party insurance and workers injury benefit insurance.
of a policyholder. There are two types of insurance i.e.
general and life. General insurance pays money, replace lost Plan to have a life policy which will pay some money to your
or destroyed property as a result of misfortunes such as fire, dependents in the event of your untimely death. This can
strike, storm, pests, drought, flood, theft and the like. Life go a long way in assisting the family in settling down as they
insurance, on the other hand, pays the policyholder if he cope with the reality of the loss. How much life insurance
do you need? A quick rule of thumb for measuring your life
About the author insurance needs is to multiply your current annual income

by a factor between 10 and 15. For instance, if you earn
Sanjay Singh 50,000 a year, you would require about 500,000 worth of
MBA (Insurance),Fellow-III,DCII-London life insurance benefits in the event of death.
Shriram General Insurance Co Ltd
Jaipur
Take insurance for your treasured possessions such as
42 The Insurance Times, April 2021