Life Insurance - MeaningLife Insurance can be defined as a contract between an insurance policy holder and an insurance company, where the insurer promises to pay a sum of money in exchange for a premium, upon the death of an insured person or after a set period. Here, at ICICI Prudential Life Insurance, you pay premiums for a specific term and in return, we provide you with a Life Cover. This Life Cover secures your loved ones’ future by paying a lump sum amount in case of an unfortunate event. In some policies, you are paid an amount called Maturity Benefit at the end of the policy term. Show
There are two basic types of Life Insurance plans -
What is Pure Protection Plan?A Pure Protection plan is designed to secure your family’s future by providing a lump sum amount, in your absence. What is Protection and Savings Plan?A Protection and Savings plan is a financial tool that helps you plan for your long-term goals like purchasing a home, funding your children’s education, and more, while offering the benefits of a Life Cover. Click here to know more about different types of Life Insurance Plans. Factors that affect life insurance premiumNow that you know what is life insurance and why you need it, find out the factors that can affect the life insurance premium:
COMP/DOC/Dec/2021/3112/7177 Let us understand some commonly used terms in Life Insurance:
Let us understand how Life Insurance works:In today's era, having a life insurance policy is a must for every individual as it is one of the best ways to secure one's future along with their loved ones. There are many different types of life insurance policies available in the market. However, before choosing one, it is important to understand how a life insurance policy works. Let us look at an example to understand how life insurance works: Now, let’s see an example:Mr. Kumar (Life Assured) pays ICICI Prudential Life Insurance (Insurer) an annual amount (Premium) over 5 years (Premium Payment Term) to make sure that his wife (Nominee) gets a certain assured sum of money (Life Cover) in case of an unfortunate event during the 10 years or Lumpsum amount at maturity on survival at the end of policy term. Life insurance not only covers the risk arising due to an unfortunate event, but also gives you additional benefits like tax benefits, savings and wealth creation over a period of time. The right life insurance plan from a trusted company can help one get long-term risk cover plus savings, i.e. dual benefits from one solution. COMP/DOC/Sep/2021/249/66267
FAQs1. Is life insurance worth buying?Yes, life insurance is a worthy purchase. Anybody with financial dependents will find the benefits of buying life insurance attractive. In case of the demise of the only income earner, a life insurance policy becomes a financial safety net that helps your loved ones pay for expenses such as a loan, childcare, education, health, and many other everyday bills. Life insurance is an affordable way to financially protect the people you love most. 2. How to claim life insurance after death?It is a simple process. You can report your claims online, at our branches, central office, via SMS, e-mail or through our call center as per your convenience. Physical documents will be required to be sent to the nearest branch to start the process. The documents needed are: In addition, below Documents required for Accidental/ Suicidal Death
COMP/DOC/May/2021/265/5899 Next, our claims department/team will assess the claim and inform in case any further documents need to be submitted. Once your claim is intimated and the life insurance company receives all the relevant approvals and then settle all the valid claims through cheque or Electronic Clearance System (ECS) 3. How many beneficiaries can be on a life insurance policy?There is no limit on the number of beneficiaries you can add to your policy. However, if the insured has a will and it specifies who the amount of the insurance benefit should go to after he/she passes away, then the benefit will go to the person mentioned in the will irrespective of the mentioned nominee. 4. How long does it take to get life insurance amount after a death?
To avail ClaimForSure,
Otherwise for all other claims, our average turn-around time for settling a claim as of FY 18-19 is 2.34 days**, with 79% of claims being settled within 3 days. COMP/DOC/Nov/2020/2711/4891 Have questions?Read answers to common queries READ FAQS People like you also read ...Features of Life Insurance Life insurance for Women Benefits of life insurance * Day 1 is counted from the day of receiving the last document. All due premiums in the policy have been paid and the policy has been active for a continuous period 3 years. Mandatory document to be submitted at Branch Office before 3pm on a working day- Original policy certificate, copy of death certificate by local authority, Nominee’s current address proof, photo identity proof, Cancelled cheque. Copy of bank passbook, Copy of medico legal cause of death, Medical records (Admission notes, Discharge / Death summary, Test reports, etc.). For accidental death – Copy of FIR, Panchanama, Inquest report, Driving license. Interest shall be at the bank rate that is prevalent at the beginning of the financial year in which death claim has been received. In case of breach in regulatory turnaround time, interest will be paid as per IRDAI regulations. ** The average TAT is calculated from the last document received to payment disbursal date for non-investigated claims. 1 Why do women live longer than men? - https://ourworldindata.org/why-do-women-live-longer-than-men What is the promise to pay in insurance?The basic concept of insurance being a promise is that you pay an insurance company, and they in turn promise to settle your claim should you have one. That is why it is essential to choose your agent and insurer with care. A Captive Agent – The individual insurance company pays these agents.
What does the insuring agreement in a life insurance contract?The Insuring Agreement
This is a summary of the major promises of the insurance company and states what is covered. In the Insuring Agreement, the insurer agrees to do certain things such as paying losses for covered perils, providing certain services, or agreeing to defend the insured in a liability lawsuit.
What is the term for the money paid to the insurance company for your insurance policy?An insurance premium is the amount of money an individual or business pays for an insurance policy. Insurance premiums are paid for policies that cover healthcare, auto, home, and life insurance. Once earned, the premium is income for the insurance company.
What is the term for a life insurance policy that only pays the benefits if the insured dies during the term of the policy?Key Takeaways. Term life insurance guarantees payment of a stated death benefit to the insured's beneficiaries if the insured person dies during a specified term. These policies have no value other than the guaranteed death benefit and feature no savings component as is found in a whole life insurance product.
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