Please enable JavaScript.

Coggle requires JavaScript to display documents.

knowledge base (Greetings wanderer! (I am the keeper of Anna's…

- - - - So, shoot!
 
 I love this!
 
 And we love every ounce of you back! :-)
 
 Ask me anything.
 
 What is life insurance? Think of life insurance as a financial cushion that you and your loved ones can fall back on at times of great financial needs. You buy an insurance and pay regular installments. In return, your insurer pays your dependents a lumpsum in case of your death or health deterioration. 
 
 Do I need life insurance? If you have dependent family members, or if you want a passive money pool set aside for expenses after retirement, you need life insurance. As the name suggests, it insures that no accidental or life-threatening event can put you and your family in great financial misery. 
 
 What are the different types of life insurance? Life insurances are mainly of two types: pure risk cover, and investment plus risk cover. Pure risk plans cover death and are easy to afford. Plans with investment benefits give maturity benefits and cost more than pure risk covers. Explore more on pure risk covers & insurance with investment benefits. Pure risk term plans/investment plans
 
 How much life insurance cover do I need? The thumb rule is to purchase a life cover that pay out at least ten times of your annual income. So if your income is 10 lakhs, your ideal life cover is 1 CR or more. 
 
 What should I know before choosing a life insurance? Before issuing an insurance, the insuring company will conduct a thorough background check. So, you must furnish all data to the best of your knowledge so your insurance doesn’t get rejected. 
 
 Can my life insurance claim be declined? Certain lifestyle choices can impact your claim life accident due to intoxication. You should consider healthy living and treat your insurance as an airbag; because the best thing is to never have to claim life insurance at all. 
 
 Why is now the right age to buy life insurance? Buy life insurance when you are young. And you're as young as you'll ever be. Every passing day, your insurance gets a little costlier. By buying early, you actually save on a long term. Try comparing insurance costs at different ages at www.hdfclife.com. 
 
 Compare insurance costs at different ages at www.hdfclife.com.
 
 Is it cheaper to buy life insurance when young? Buy life insurance when you are young, making money, and at the peak of your health game. Because that's when insurances come cheap. Try comparing insurance costs at different ages at www.hdfclife.com. 
 
 What is underwriting? Underwriting is the process where your insuring company evaluates whether they would risk giving you an insurance cover, how much cover you're eligible for, and how you'd be allowed to pay. This process involves medical tests, background checks, etc. 
 
 Can I change my mind after buying a policy? You will have around 15 days to return your policy. This is called a free look period. Usually, insurance companies run background checks, estimate risk, etc. during this period. However, you'll lose credibility to apply for new insurance plans afterwards and they'll deduct some amount. 
 
 Can I surrender my policy after buying? You can submit your policy any time, but you'll stand to lose more than gain. However, your insuring company may have a lock-in period. If you surrender your policy before this, no surrender value will be paid out to you. 
 
 Can I plan retirement with life insurance? Life insurance (except pure risk cover, e.g., term insurance) is the best vehicle for retirement planning because of the security it promises. Pension and regular income plans can pay out a lumpsum or monthly income at maturity (the end of policy term). 
 
 What is a rider? Riders are top-ups to your insurance that add benefits ranging from payout at serious illness to monthly payments at retirement, etc. Riders enable you to customise your base insurance plan to suit your needs. 
 
 What is a permanent life cover? Traditional pure risk term covers remain active up to 75 years and then they expire. A permanent life cover stays active up to your entire life. The catch is higher insurance premiums. 
 
 Term Insurance.
 
 What is a term insurance? A term insurance is an agreement between you and an insurance company. The insurance company collects regular premiums, and in case of your untimely demise, pays the nominee a lumpsup amount, which is sufficient to maintain your family's living standards for years to come. Click below to find out your premium for a 1 CR term insurance?
 
 What is a premium? A premium is the monthly/annual payment towards your insurance provider, which ensures an active policy and protects your life financially. For example, our premiums start at ₹521/month for 1 CR term cover!
 
 Reasons to buy term insurance/Why Do We Need It? Term insurance provides a safety net for your family and ensures that they stay financially independent even after the passing of the main breadwinner. Term insurance also takes care of loans and debts that need to be paid off in your absence. Click below to find out your premium for a 1 CR term insurance?
 
 For how long does it insure me/how to decide tenure? Term insurances come with different tenures, usually between 75 years to whole life, the latter being costlier. The rule of thumb is to buy one as early as possible, so you can stay covered your entire life in less premium. ☺ HDFC Life's Click to Protect 3D Plus term cover gives you comprehensive protection for up to your whole life (99 years).
 
 How much term insurance do I need? Calculate your term insurance cover here: https://www.hdfclife.com/financial-tools-calculators/human-life-value-calculator
 
 1 more item...
 
 What payment options are available? We have flexible premium payment options. You can pay your premiums annually/half-yearly/quarterly/monthly. You can also pay a single lumpsum amount and rest easy. ☺ Term insurances are so affordable that your wallet won't even feel the pinch. ☺
 
 Is there a term insurance that continues after I stop paying premiums? Usually, the insurer would temporarily revoke the insurance cover until you resume paying installments. That means for the term of non-payment, if something happens to you, the insurance won't pay out. After a determined period of non-payment, the policy would lapse! :( The good thing about term insurance is that the premiums are super affordable, so paying for one would be a breeze.
 
 My company provides me with term insurance. Why should I purchase another one? Group policies such as the one you have from your employer follows a 'one size fits all' strategy. However, under group policies, you are underinsured (ask me "How much insurance do I need?"). You might also want a bespoke plan that fits your specific insurance needs. Take charge of your life by purchasing an individual term cover at affordable prices.
 
 Does term insurance cover accident? Yes. The plan pays off at accidental death. But, you can pay an additional small amount, called a Rider, to get a surplus lumpsum for death caused by accident. 
 
 Does term insurane cover accidental disability? Yes. Our plans by default cover accidental total permaent disability by giving you a waiver of future premiums. But you can pay an additional small amount, called a Rider, to get added benefits such as monthly payments.
 
 Does life insurance give tax benefis? Yes. You will be eligible for tax exemption of up to 1.5 lakh under Section 80C of Income Tax Act of India, 1961. 
 
 "What if I have a serious/critical illness and cannot work? A very interesting question indeed!
 You can pay a small additional amount, called a Rider, to get critical illness cover. Your policy will waive future premiums and pay a lumpsum amount on diagnosis of one of 19 critical illnesses (terms and conditions apply)."
 
 Does term insurance cover my family? Most individual insurance plans cover only one policyholder (the life an insurer protects financially). Exceptionally, some plans are focused on catering to joint life, that is, two people who have some relationship. Are you looking for a plan that covers you and your spouse, or your parents? We can look into that.
 
 How much Life Cover do I need? Get ready to calculate HLV (human life value), which will give you an inside view into your financial dependencies. https://www.hdfclife.com/financial-tools-calculators/human-life-value-calculator
 
 Take me to my insurance premium calculator. The amount of premium is as important as the total life cover you need. Check what your term cover requirement is by clicking on this link: https://www.hdfclife.com/financial-tools-calculators/human-life-value-calculator
 
 What are HDFC Life Riders? Riders are top-ups to the base term insurance plan. Riders add benefits such as critical illness cover, monthly payment, etc. HDFC Life term insurances come equipped with some free Riders, such as waiver of premiums in Accidental Total Permanent Disability.
 
 What types of deaths are covered in term insurance? Nearly all types of deaths are covered including natural and accidental death. But there may be some exceptions like natural disaster, terrorist attack, and death due to lifestyle choices. Check the terms and conditions in the fine prints for clarity. 
 
 "What if I outlive the term period? Very good question!
 The objective is to have an ample financial cusion for your family to fall back on as long as you're earning and providing for them. So if you are no longer present or render unable to work, you family remains financially independent and proud of you. ☺ However, you can choose whole life cover, which comes at a higher cost. Or, buy a maturity plan, or a plan with a survival benefit."
 
 Why should I purchase insurance online? We are constantly striving to make online insurance fully transparent to our customers. Our online plans have the same merit as offline plans, so What You See is What You Get! If you need to talk to someone regarding our online plans, dial 1800-266-9777 to talk to our certified insurance experts.
 
 What is a joint life cover? The only difference is that it covers two lives. In the event one person passes, the other one can claim insurance payout, ending the insurance cover. The death of both policyholders pays out more to the nominee. 
 
 What will be the tenure of my plan? Term insurances come with different tenures, usually between 75 years to whole life, the latter being costlier. The rule of thumb is to buy one as early as possible, so you can stay covered your entire life in less premium. ☺ HDFC Life's Click to Protect 3D Plus term cover gives you comprehensive protection for up to your whole life (99 years).
 
 "How much insurance cover should I take in a term plan? The thumb rule is to strike a balance between your age, compensation, risk appetite, and lifestyle. ☺ If you want to check your term cover requirements, check this link:
 https://www.hdfclife.com/financial-tools-calculators/human-life-value-calculator"
 
 What will I get on maturity under a term insurance? There is no maturity benefit under traditional term insurance. In the event of your untimely death, your nominee will receive a lumpsum. Maturity plans are a great vehicle for savings and retirement planning. Click on the following option to know more.
 
 Can I change the duration of life cover after the policy is issued? You cannot change the duration of your life cover after the policy is issued. 
 
 Will my premium amount change in the duration of the policy? Your premium will remain a fixed amount throughout the period of payment. The amount of premium is as important as the total life cover you need. Calculate your term cover requirement here:
 
 Why is premium amount for smoker higher than that of a non-smoker? Smoking has a major negative impact to your health, affecting your insurance risk portfolio. Insurance companies have to consider higher future medical costs due to the use of tobacco. You will undergo medical tests where the seriousness of your tobacco use will be determined before finalising if you're fit for the policy and what your premium should be. HDFC Life offers nominal added charges for tobacco users. Read up on insurance policies suitable for smokers and high health risk people.
 
 I am an occasional smoker. Do I need to still declare myself as a tobacco user? Yes. If you have smoked recently, you must inform your insurer before it's discovered in the medical test. Concealing even the most innocent personal information can complicate things and may, in the worst case, result in policy termination. Increase your chances of getting insurance quickly by being 100% transparent. Divulge all health-related details.
 
 I am an infrequent smoker. Will I still be categorised as a smoker? The intensity of your smoking habits determine the risk the insurance company will be willing to take. Read our article on different types of smokers. 
 
 What if I become NRI after purchasing term plan? You need to intimate your NRI status to the insurance company and further update your profile as a non-resident of India. You may have to maintain the same bank account for payment of premiums. If you're already an NRI, HDFC Life has a comprehensive lot of insurance for NRIs.
 
 Do you cover terrorist attack under Term Plan? Death due to terrorist attack is usually covered. Before purchasing, talk to your insurance company for full knowledge on unnatural death. 
 
 Why should I buy an Accidental Death Benefit cover if accidental deaths are already covered under base plan? The simple answer is to double or triple your payout buy paying just a tad extra. Getting an accidental death benefit top-up will not only pay out more lump sum, but also, the top-up accidental rider may have less stringent terms for claims. 
 
 What if I want to surrender my policy during the policy tenure? Surrendering your policy is a big loss, both for you and the insuring company. You lose life protection and the company loses a customer. The symbiotic relationship between the customer and an insurance company produces fruits only in the long term.
 
 Can I insure my spouse/ children instead of me? Yes. You can buy individual insurance plans to insure your spouse or child or anyone else you're directly to. Help your child piece together his/her dreams without worrying about money.
 
 Can I switch my term plan from one company to another if I get better benefits in other term plans? The short answer is no. You cannot switch your policy to another insurance company. Ergo, do extensive research on insurance products, analyse your risk-taking ability, check your insurance needs, and take an informed decision before purchasing.
 
 How much time does it take for a claim settlement? Claim settlement may take up to two weeks, and this may vary from company to company. Did you know that HDFC Life honoured 97.8% individual claims in 2017-18?
 
 What will happen if death occurs within one year of purchasing the policy? Will the claim be settled still? A death claim any time after the policy issuance is honoured, as long as your data is impeccable and your actions don't violate the terms and conditions. Read the policy document carefully. 
 
 What will happen if my claim gets rejected and my nominee wishes to re-apply for same? If a legitimate claim is denied, your nominee can approach the grievance redressal portal. Insurance providers make an exception to genuine cases of claim denial and will reexamine your case. You can also approach the IRDAI if your claim is illegitimately denied.
 
 How to reduce insurance premium? You can decrease the duration of the policy, say, from 75 years to 55 years, which will greatly reduce your payments. Another obvious choice is to reduce the cover. Check out your insurance needs here:
 
 Should I split my desired life cover under multiple policies? If you wish to have multiple benefits enclosed under one single policy, add riders. This will result in a comprehensive policy and go easy on your pocket. HDFC Life's Click to Protect 3D Plus term cover gives you comprehensive protection from death, diseases, and disability.
 
 What will be the impact on the premium amount if my medicals show adverse results? Adverse health can result in high premiums if you club them with a long-term life cover. In such cases, you may be granted a low amount of life cover. 
 
 What mandatory documents are required to buy Online Term Plan? Proof of income, age, identity, and addresss are mandatory. 
 
 What is endowment plan and should I buy it? An insurance plan that offers death benefit along with savings and maturity benefits is an endowment plan. HDFC Life has a comprehensive range of life cover plus savings insurance plans. See how you stack up against the requirements of our superstar product Click 2 Invest at:
 
 Why is term insurance better than any other life insurance policy? Pure term covers are the best life protection plans because of their simplicity and affordability. Plans start from 4 rupees a day. These plans are so easy on your pocket, you can even pay for one using your pocketmoney.
 
 Can one change his/her nominee - say include spouse after marriage? Absolutely! The insurance plan too can be "groomed" ☺ You can change your nominee details if you have purchased your plan before marriage.
 
 Should you split cover in two companies? Insurance is a long-term investment, unlike mutual funds and equity. So, if you are looking to diversify your risks by splitting companies, then it might just product the same fruits. 
 
 What is the best insurer to opt for? When choosing an insurance provider, consider their brand reputation and claim settlement ratio. Did you know that HDFC Life honoured 97.8% individual claims in 2017-18?
 
 Which company ranks best on Claims Settlement Ratio? HDFC Life honoured 97.8% individual claims in 2017-18, following closely by other top insurance players. My admin didn't feed me other companies data
 
 Isn’t LIC better than the Private Brands? All Indian insurance companies are regulated by IRDAI including LIC. So, all insurance companies are vying to provide the best customer experience. It's often better to start with a fresh perspective and zero down on a company that focuses on your specific insurance needs.
 
 How can I be sure that my family will not face problems while making a claim? Our claim process has various layers of regulatory intervention by the IRDAI. For any unsettled claims, you can always lodge grievance on our grievance redressal page or contact IRDAI. 
 
 Why is Term Insurance important? Term insurance provides a safety net for your family and ensures that they stay financially independent even after the passing of the main breadwinner. Term insurance also takes care of loans and debts that need to be paid off in your absence. 
 
 Are riders important? Which one should I opt for? Riders are top-ups to the base term insurance plan. Riders add benefits such as critical illness cover, monthly payment, etc. 
 
 I want to know about Click 2 Protect 3D Plus. Click 2 Protect 3D Plus is our ★superstar★ term plan! With Click 2 Protect 3D Plus, you will never need another insurance to safeguard your family’s finances in testing times.
 
 I love this!Let's go.