Top Life Insurance Companies In India 2020

The paramount advantage of investing in a life insurance policy is to secure you and your family from facing any financial instability which may rise under unpredictable circumstances.

It assures to provide a specific amount in a situation of premature death of the insured, thus making sure that the family does not suffer any financial constraint, even in the unavailability of the income provider of its family.

Leadingly, life insurance policies come in various types and each variant assists in fulfilling your life goals. Lastly, life insurance policies are tax saving in nature. The amount you acquire from the policy is entirely tax exempted in nature under Section 10(10D) and also the premiums paid are permitted as a deduction from your taxable income under Section 80C.

The premium payments of your insurance plan would be less if you purchase a term plan at an early age. Additionally, you will have an access to avail the sum assured from a young age and generate a financial shelter for your family without causing delay.

As you purchase the plan early, you would be exempted from any medical impediments and thus, the policy would be provided at the earliest with affordable premiums. Concluding, the premiums that you pay would be permitted as a tax-free deduction and can be availed to lower your tax liability.

Succeeding the due date of the premium payment, the grace period to deposit the due premium amount commences. For instance, if due date of premium deposit is 15th, grace period would start from 16th.

The duration of the grace period is based upon the frequency of premium payments. If premiums are paid annually, quarterly or half-yearly, you are provided with a grace period of 30 or 31 days. A grace period of just 15 days is permitted under monthly premium payments. 

According to your life insurance policy, the loan amount may vary among different plans and is dependent upon the surrender value obtained by the policy. Loans up till 90% of the surrender value can be availed. Hence, the amount of loan would be increased if its surrender value is high.

In a situation where the insured is alive at the time of completion of their life insurance policy, it is called as maturity of the policy. In such a case, a maturity benefit, as promised under the policy is rewarded. Leadingly, the coverage gets concluded post the payment of the maturity benefit.

If the insured is alive on the date of conclusion of the tenure period of its life insurance policy chosen by the policyholder, an amount known as maturity benefit is rewarded to the insured by the insurance company.

If required, a licensed medical practitioner performs the medical examination at a certified clinic or hospital which are generally linked with the insurance provider to carry out pre-entrance health diagnosis of candidates who wish to acquire a policy from the company.

Based on the chosen coverage level and the age of the candidate applying for insurance, medical tests are run only if necessary and depending upon the above mentioned factors.

Additionally, if the life insured currently prevails or has suffered from a medical complication, the insurance company might run a medical check-up before issuing the policy. Hence, it becomes mandatory to undergo a medical check-up only if your insurance company asks for it. Otherwise, it is not necessary under all policies.

The insurance company offers many other variants in case in case if any issue in medicals arises. It might imply an escalated premium for the increased medical risk of the insured.

In such a situation, if you approach the higher premium, the policy would get issued. On the other hand, the insurance company can impose coverage restrictions. In case if the medical threats are too much to be covered, the provider can straightaway decline the policy.