When and how to take term insurance
Experts say that term insurance should be taken as soon as possible, due to this not only the premium amount remains low but the cover is also convenient. In such a situation, it will be beneficial to take term insurance till the age of 26 years, in which the monthly premium can be 600 to 1200 rupees per month. You can get it renewed every year or can also take it for a long time. Term insurance can be more than 25 times your earning, that is, if your annual income is five lakh rupees, then you can easily get term insurance of one crore rupees.
How to choose a company
The consumer should choose the company on the basis of two big points. First of all, Claim Settlement Rate (CSR) means what percentage of claims were passed by the company. The second Amount Settlement Rate (ASR) i.e. the amount paid by that company in the claim. On this basis, you can choose a better plan for yourself by getting information about the companies available on IRDA’s site.