Insurancesathi.comShould you go for the cheapest term Insurance today?
Should you go for the cheapest term Insurance today? Life Insurance companies are becoming very competitive today with almost every Life Insurance company today coming out with new term Insurance plans which are cheaper than the competition. As a natural tendancy, people tend to go for the cheapest premium plans. This has big risks.
1) If you look at the claim rejection ratio, these companies generally tend to have very high rejection ratios. You can visit IRDA website to get more details.
2) All companies have a standard premium chart. But once the policy is loggedin, most of the cases get rated up which means you will have to shell out more!!!! Insurance companies do not provide information on why your case has been rated up and it is stated as an underwriting decision.
Hence it is advisable that you do a thorough check before signing up for a term policy with a particular company. Term plans will provide benefit only when you arent there. Your family may not be in a position to contest if the claim is rejected by the Insurance company. Just buying a term plan wouldnt do much good. Make sure that the Insurance company has a fair claim settlement process in place. Do not think of saving couple of thousand rupees today which might put your family in big trouble when you arent there.
thank your for your post and the rest. you know..
Vimax