The Need for Women Life Insurance Policies


Insurance policies that offer life coverage are not a common practice among Indian women.

Traditionally they were the home-makers and the insurance facility was confined to the bread winning male member only. But there is a gradual positive change in this attitude now. Though they are bounded by social obligations, they have started buying the investment- oriented insurance policies. Insurance policy which offers life life coverage is no more a forced form of savings. They are purchasing these policies l not only to provide some cover to family, but also to earn a significant amount on maturity.

Life insurance is primarily a protective tool by which an individual is empowered to transfer the financial risk (to his/her family) of his/her early or untimely demise to the concerned insurance company. How do the insurance companies compensate the financial loss caused by the above situation? The answer to this question needs introspection as well as thorough analysis of the rationale of the policies. Apart from the the emotional loss, there is also a financial loss that occurs to a family , when the breadwinner or earning member of a family meets unfortunate premature death.

The home makers should buy life insurance to demonstrate caring and to feel comfortable that they have indeed done something to secure their family’s future in case of any unfortunate event. Whether they need insurance or not is really an irrelevant question. Ensuring that the husband has sufficient cover is far more important for a housewife than ensuring that she has sufficient coverage for her life. It is an out of box thinking that if the husband has sufficient life cover, there is no pressing need for a woman to buy insurance policy for the same purpose.

Premiums on life insurance policies vary from company to company but in general it is within the affordable limit. The perfect approach to buying life cover is to consider whether the risk covered by the policy has the potential to jeopardise the family’s future. The housewife has to introspect on whether her death besides an emotional loss could cause any financial damage. If financial loss is there, she should not waste time and purchase a policy as soon as possible.

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Family Health Insurance – What's the Difference Between Family and Individual Health Insurance

Probably the second most popular type of insurance, that people everywhere aside from life insurance is medical insurance. Every year, there are new companies offering different types of insurance schemes to the public. Because of this, there is a growing competition among these companies. It\’s amazing how many companies pop up in the health insurance industry.

This just goes to show much profit this kind of business generates and this is why you need to choose carefully, or it could be costly.

For you to be safe, you should always make sure to check every single detail about the insurance you are considering. There might be hidden charges you didn\’t notice. The current selection of health insurance schemes today are numerous.

The two main types of insurance are individual insurance and family insurance.

Although the two are both health insurances, the latter gives much more benefits than the former. It is understandable, though, how the family insurance can be more preferred. Anybody would prefer the security of their family first before their own.

You can expect the family insurance to be more expensive too. However, this is not a main concern for the people since it covers the medical bills of their whole family.

It\’s not that easy to compare the different schemes available in terms of the rate and how much benefit you can get relative to the price. It is very important, though, to assess this before you commit to anything.

It may seem hard at first, but once you start you\’ll find it easier to do. The total price for a family scheme can be quite complex to work out and by shopping around you can save a huge amount of money because of the different ways different insurers calculate the total cost of a family policy.

Individual health policies may be simple for you but there\’s a difference when it comes to family insurance.

It\’s recommended that you seek the help of an insurance adviser when it comes to assessing potential family health insurance plans because for a family policy there is a lot to consider. While deciding on a members eligibility for a claim, some companies put certain limitations on treatment methods, types of medication, and on the physician choices.

If one person on the policy has a history of illness it can send the overall cost through the roof, and it can be better to put them on an individual policy.

The cheapest place to find low cost health insurance is on the internet and by comparing policies you can save hundreds a year on your insurance cover in just a few minutes.

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What is Life Insurance Settlement?

Win – Win Financial Solution for Seniors!

A Life Insurance Settlement is the sales of a life insurance policy to a third party in exchange for a cash settlement in excess of the cash surrender value of policy —even if none exists! This is also called as Life settlement, Insurance settlement or Senior settlement.

Typically, a Life insurance settlement or senior settlement is about three to five times the cash surrender value of the policy.

Life settlement: When an individual who does not have a terminal or chronic illness sells a policy for other reasons, including changed needs of dependents, wanting to reduce premiums, and cash for meeting expenses, that is known as a Life settlement.

Viatical settlement: When an individual with a terminal or chronic illness sells his or her life insurance policy that is known as a Viatical settlement.

Hitherto, elderly Americans with life insurance policies they do not need or cannot afford to keep up have had little option. They will let the policies lapse or sell them back to their insurers. Now lots of them are glad to have an alternative, i.e. Life Insurance Settlement or Senior Settlement. Seniors may now be able to sell their policy for far more than the cash surrender value the insurance carrier would offer.

When you go for Life Insurance Settlement or Senior Settlement, the life insurance policy owner sells his or her contractual rights under the policy at its present market value in exchange for a lump sum cash payment, which payment exceeds the cash surrender value of the policy.

The purchaser of the policy will then become the new owner and the new beneficiary of the life insurance policy and is then responsible for making all of the future premium payments. The new owner now collects the full amount of the death benefit when the insured dies.

Life Insurance settlement or Senior settlement present a unique opportunity to the senior policy holder to extract the maximum possible value from an existing life insurance policy and repurpose those funds for whatever financial needs may exist.

Seniors can use the money received from Life Insurance Settlement or Senior Settlement, to purchase new insurance, travel the world, start a business, buy a property or fulfill their dreams. The money is theirs to simply enjoy and use it for any reason they can think of. In fact, seniors can use the cash settlement for medical expenses, living expenses, or anything they desire—with no restrictions.

There are various reasons why seniors sell their life insurance policy and opt for Life Insurance Settlement or Senior Settlement.

Why Sell Your Life Insurance Policy?

1. If you are chronically ill, selling your current life insurance policy provides needed funds to cover financial burdens caused by your illness. A viatical settlement gives you the ability to regain needed financial security.

2. If you are over the age of sixty-five, a life insurance settlement or senior settlement maximizes your current assets by eliminating premiums and getting funds that can be used today.

3. Pay off debts.

4. Make funds available for other investments.

5. Turn a lapse insurance policy into cash with Life settlement.

6. Pay your medical care bills.

7. Finance your retirement.

8. If you are a corporation, selling corporate owned life insurance lets you regain back premiums paid on no longer needed policies.

9. If you are a non profit organization, selling a gifted life insurance policy provides funds that can be used now and also eliminates premiums.

10. If you managing an estate, selling your current life insurance policy will help manage changes in estate size, eliminate premiums, and liquidate policies that no longer are needed.

What Insurance Policies Qualify for Life Insurance Settlements or Senior Settlements?

To find out whether you qualify, here are some of the requirements.

(A) Must be at least 65 years of age

(B) The face value of the policy is at least $50,000

(C) The insured has experienced deterioration in health since the insurance policy was issued; life expectancy is under 15 years

(D) The insurance policy is in effect beyond the two year contestable period

(E) You Are Over 21 with a Life-Threatening Illness – Viatical Settlement

But any policy owner, including individuals, corporations, charities or trusts, may sell any life insurance policy, including group and term policies.

What Types of Life Insurance Polices are purchased?

1. Government issued policies

2. Term Life

3. Universal Life

4. Survivorship policies

5. Many Group types of policies

6. Corporate Owned Life Insurance

7. Whole Life

8. Basically All Types of Life Insurance Policies

The Life insurance settlement value could be potentially much higher than the cash settlement of your life insurance policy. Do not continue to pay expensive premiums for coverage you no longer need, and do not surrender the policy or let it lapse. The Life Insurance settlement, Senior settlement or Viatical settlement solution is typically the Win-Win scenario that you have been looking for.

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Career in Insurance Sector Part – 2

(A) Underwriting

Underwriters assess the risk in the business and take care of risk management. Normally life insurance companies prefer people with medical or a life sciences background for this job. For the general Insurance companies, people with finance backgrounds are preferred.

1) The Job

  1. a.)      Evaluate customers’ financial status. Examine earnings, savings, debts, and payment history.
  2. b.)     Use a computer to calculate different measures of financial well being
  3. c.)      Recommend an insurance plan based on the financial status of the customer
  4. d.)     Determine how much risk is involved in Insuring the customer
  5. e.)      Talk to customers to check that all information is correct. Revise information as needed
  6. f.)       Find accounts that have not been paid premiums and forward them to retention units; and
  7. g.)     Exchange credit information with credit associations and similar businesses.

2) Personality traits

  1. a.)      Reasoning and problem solving ability
  2. b.)     Good usage of mathematics and science
  3. c.)      Good time management
  4. d.)     Work well under pressure
  5. e.)      Good at team work
  6. f.)       Sharp mind
  7. g.)     Good awareness regarding updates and latest information related to respective reports

3) Salaries

  1. a.)      Entry-level salary is around 6 lakh p.a.
  2. b.)     Senior Underwriters or Head of Unit earn more than Rs.20 lakh per annum.

(B)  Marketing and Distribution

Marketing insurance product is like marketing any other financial product, which requires a push. Marketing therefore would require specialization. MBAs and those with experience in marketing and finance fields can pursue this opportunity.

4) The Job

  1. a.)      Marketing and procurement of business.
  2. b.)     Business promotion.
  3. c.)      Fund management and disbursal.
  4. d.)     Overall development and sale of insurance policies in the allotted territorial jurisdiction.

e.) Recruitment and training of agents for the procurement of new business and the servicing of old policies.

5) Personality traits

  1. a.)        Friendly, out going person, sociable and articulate
  2. b.)        Ability for assessing the market
  3. c.)        Interested in meeting people to explain to them the various policies and schemes of the Insurance Company.
  4. d.)        Leadership skills
  5. e.)        Team-Worker
  6. f.)         Ability to work under pressure
  7. g.)        Patient

6) Salaries

  1. a.)      Entry-level salary is approx Rs 2 lakh per annum after a UG degree & Rs 5-6 lakh after a PG degree. A substantial part of the remuneration is in the form of incentives on targets achieved.

(C). Operations

This is the department that books the policies on the systems of the insurance company. The insurance sector requires IT professionals for elaborate databases, network solutions and for in house packages etc. and these are also a part of operations.

7) The Job

  1. a.)      Registry of claims within permissible financial limit
  2. b.)     Policy making
  3. c.)      Filing official returns
  4. d.)     Creating and sending reports and statements to higher regional offices
  5. e.)      Auditing all policies
  6. f.)       Booking of the policies on the system.

8) Personality traits

  1. a.)      Innovative
  2. b.)     Sound Financial Skills
  3. c.)      Leadership skills
  4. d.)     Ability to work under pressure and deadlines
  5. e.)      Attention to detail and meticulous
  6. f.)       Ability to work in a structured environment
  7. g.)     Analytical mind
  8. h.)     Project management skills

9) Salaries

  1. a.)      Entry-level salary is approx Rs 2 lakh per annum after an under graduate degree & Rs 5-6 lakh after a post graduate degree.
  2. b.)     Head of Operations draws a salary of approx 50- 60 lakh per annum.

To know more about other relevant information about Career in Insurance, read the Third Part (3) of this article.

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How To Determine How Much Life Insurance You Really Need

Oh insurance! It\’s such a pain in the behind!  I don\’t know about you, but I hate making insurance premium payments. I mean I really hate it!  Health insurance, auto insurance, homeowners insurance, life insurance… the list goes on and on; it seems like we\’re always paying some sort of insurance.

There is one type of insurance, though, that I don\’t mind paying so much, as long as I\’m not overpaying!  And that kind of insurance is life-insurance… and let me tell you why…

If I get in a car wreck and a total my car; I\’m out a car if I don\’t have good insurance. I can live with that. If I get sick and need an expensive surgery and my health insurance doesn\’t cover it, or I don\’t have health insurance, I can live with that too. I\’ll just borrow some money, or dip into my savings which isn\’t fun but at least it\’s doable. And if my house burns down and I don\’t have homeowners insurance, well that would really stink, but I\’d just go rent something until I got back on my feet again.

Life insurance, on the other hand is something else entirely. If something happens to me and I die, then there\’s no one left to take care of my family. My children and my spouse are on their own, out in the cold, without a steady source of income.

How will they eat,  will they sleep, how will they pay for school and clothes and everything else? These questions will not stand! But there\’s something I can do about it today, and that is to take out a life insurance policy that will cover all their expenses if something happens to me.

So I don\’t mind paying the life insurance premium. It\’s peace of mind is well worth it. At the same time, I don\’t want to overpay and since this is such an important thing, and so complicated in many cases, it\’s easy to get turned around.

So how much is enough when it comes to life insurance? Keep in mind that the purpose of life insurance is to replace the value of a family member, the economic value of a family member and at the same time provide cash or liquidity to meet the needs of the remaining family members.

If you die but your spouse doesn\’t, will they be able to go out and get a job? If so, you may need less life-insurance. If not, or if their job would not pay out as much as you\’re making now, you may need more life insurance.

The most important thing to do is sit down with an insurance agent that you can trust, somebody that has been recommended to you by friends and family, or somebody whom you have worked with for many years and you know well. Explain to that person that you want your life insurance policy to replace the income you would make had you not died. Make it very clear to this person that you don\’t want your family\’s quality of life to change at all if you were to pass away. And then simply work it out with them, I\’m sure they\’ll have worksheets that you can use to determine the exact amount of life insurance that you will need; and sometimes it\’s just best to follow the professional advice that they give you.

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Affordable Life Insurance

Affordable Life Insurance

Alterable universal life insurance,

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 since unique by the Life and Health Insurance Foundation for Education (LIFE), is durable haste insurance that combines the flexible premiums and open death benefits of simple life insurance, with the venture options of variable animation insurance.

Unlike universal life insurance, you dispatch to wind up how the underlying investments in your insurance policy are invested. You are offered a exceptional of investment options, including cattle and pledge funds that can vary in value, or a fixed account that guarantees impress and principal.Adding to the policy\’s flexibility, you can amend how your investment quota or move chief from test option to option, all absent creating a taxable event.

The Risk Is On You

A variable universal life insurance policy puts the risk on you, rather than the insurance company, to produce the enterprise returns necessary to support your arrangement. Due to the risky nature of the securities in the stake options, securities law, as noted by New York Life, govern these policies. You must receive a prospectus, which you should carefully read.

Also, you may need to meet the suitability rules of the issuing insurance company\’s compliance department before you are approved considering a variable universal trip insurance policy.

What May Go Up, May besides Come Down

The upside of a variable deal is that if the investment options you allocate your money in resolve well, your cash value can build elaborating at rates that may exceed the accumulation of whole or universal life insurance policies. However, if your investments fodder poorly, your cash values culpability decline precipitously. This may necessitate notable additional, unplanned premiums to support your policy in force.

How Variable Life and Variable Universal movement Insurance Policies Differ

One main alteration between versatile life and variable prevailing life insurance policies is the premiums. Variable life insurance policies have ingrained premiums. On the other hand, modifiable routine life allows you to vary your premiums. You can get together to pay more money, progress to specified limits, or you can sometimes skip premium payments if the policy\’s cash value is skookum enough.Variable motion and modifiable universal reaction insurance policies have matching death benefits, which depend upon the return of undertaking options you choose. However, adaptable life has a minimum guaranteed death benefit, even if your investment options fall in value.

Another change is that adjustable homely life, mismated variable life insurance, allows flexibility network the passing benefit amount, even after it is issued. According to Investopedia, you blame increase the death benefit, but you may trust to emerge evidence of your good health. You may also reduce the policy\’s frontage value, though there maybe be vacate charges if you do wherefore.Visit Here now