[carboy]

Originally Posted by rudrah

As of for PPF in SBI, it has a lock in period of 15 years! After that you can still extend for 5 years.

However, you can withdraw 1/2 of the money after 5 years or something like that & so on as the years go on.

[xingamazon]

Well thats good to know guys,

Anyway after disturbing myself a lot and of course disturbing the TBHP guys, decided on the following,
Take a term assurance of around 30 or 40L, I spoke to my LIC agent he confirm that there is a scheme by name Jeevan Amulya for this, the premium is a hefty (in its standard) 13.7 K and 17.4K p.a. respectively.
And invest the amount difference between the amnt I planned for Jeevan anand and the Jeevan Amulya in the MFs.

I have a next set of question in this regard
1. Has anyone tried online Assurance scheme, on random check I was shocked to see the ICICI Prulife offering 1 Cr cover for only 9.8K How good are these schemes anyone had any experience of any relatives recovering the amount, thoough my heart says LIC, slightly thinking about this also.

2. Can a person have two life insurance schemes?? will that have any problem during the recovery in case of risk occurance??

3. Is there a site which provides neutral ratings/ reviews of the various Mutual funds / SIPs that are there in the market, so that new comers like me can get an unbiased view on the market of these MFs and SIPs.

Thanks for your patience guys.

[BaCkSeAtDrIVeR]

Originally Posted by xingamazon

Take a term assurance of around 30 or 40L, I spoke to my LIC agent he confirm that there is a scheme by name Jeevan Amulya for this, the premium is a hefty (in its standard) 13.7 K and 17.4K p.a. respectively.

Please remember that you will not get back anything in case ot term life policies, in case you survive the policy term - one year.

And invest the amount difference between the amnt I planned for Jeevan anand and the Jeevan Amulya in the MFs.

1. Has anyone tried online Assurance scheme, on random check I was shocked to see the ICICI Prulife offering 1 Cr cover for only 9.8K How good are these schemes anyone had any experience of any relatives recovering the amount, thoough my heart says LIC, slightly thinking about this also.

Dunno about online policies.

AFAIK, most insurance cos. will insist on a medical eheck up in case you are asking for a policy about a certain limit - the amount depends on your job, age, etc. For 25L cover, almost certainly, they will ask for a medical checkup.

2. Can a person have two life insurance schemes?? will that have any problem during the recovery in case of risk occurance??

Definitely yes. YOu can have two policies and claim full under both policies in case of the event.

3. Is there a site which provides neutral ratings/ reviews of the various Mutual funds / SIPs that are there in the market, so that new comers like me can get an unbiased view on the market of these MFs and SIPs.

Who gives the ratings?

Originally Posted by xingamazon

Have kind of finalized on term assurance based on your comments. Will discuss with my friends on this also
(snip)
1. For the term assrance plans, my agent says the max assured amt is only 25L is that right. And the coverage is only till I am 65 yrs of age is that right?

Hehehehe.

I have noticed reluctance on part of the insurance cos to provide pure life insurance policies - ie. term insurance. This statement is a reflection of that reluctance.

2. When you say pension plans are there plans which are seperate from the Insurance plans? I mean some good trustable ones.

Look for the "new pension plan" or NPS. This subject deserves a thread by itself.

3. Regarding Medical ins, my family and I are covered under the Med ins plan of my company is that good enough??

Depends on what you want, and the amount of coverage this policy provides.

4. You mentioned "If you choose a good MF" can you let me know the how you would define good MFs, is there a thread in which this is being discussed, or any such good reading in this regard?

Another difficult question. The performance of a MFis only as good as the performance of the shares it holds. So, you need to look at the shares the MF holds. But, the MF is free to buy / sell those shares (hey, that is what MFs are about). So, all you can have is n informed risk.

Originally Posted by xingamazon

The lazy bone that I am, not sure if I would be able to approach some MF broker and get a right investment made. Thought even if the return are less its better safe than do nothing.

In which case, stick to a 21 years endowment policy (plan 14 for LIC). That would be low returns, low risk, low headache high on peace of mind, highly boring investment for you.

Actually, SIPs are meant for people like you. Lazybones, and refusing to look at the market. They average out the market spikes for you. Though value of your investment will fluctuate, there is a good chance the actual value will rise over 10 to 20 year period. But youwill need to keep a good watch on the investment house and its management.

MFs provide the following benefits:-

1. no lockin.
2. good returns, but with high risks.
3. no brokerage / no intermediaries.
4. not exactly hassle free; documentation requirements are slightly higher than those of LIC. But far less than holding a demat account.

Alternately, you can open a demat account, and buy and hold MFs of your choice in demat account. That will be only one hassle in total. All MF schemes can now be held in demat a/c thgough the NSE.

[ghodlur]

@Xingamazon,

I have tried to answer your queries point wise.

1. For the term assrance plans, my agent says the max assured amt is only 25L is that right. And the coverage is only till I am 65 yrs of age is that right?

No thats not right, you can choose your Sum Assured and the term plan. The logic here is the term plan for the policy needs to be your earning years. So if you choose to earn till the age of 60 (for eg) then your policy term should be 60 minus your present age . Pls note that the term policy is purely Insurance plan and does not have any returns. The premium paid would not be recovarable. Also the Sum assured should be 10 times your gross earnings for the year.

2. When you say pension plans are there plans which are seperate from the Insurance plans? I mean some good trustable ones.
Can you let me know who are the good players in this field, does LIC also provide pension plans?

Yes, there are plans from LIC and from pvt Insurers too. LIC has both pure pension plan and ULIP pension plan, check it out in LIC website. Apart from savings, these help in saving taxes too.

3. Regarding Medical ins, my family and I are covered under the Med ins plan of my company is that good enough??

It depends upon how much is covered in the co medical plan. Most co medical plans cover spouse+children but not parents, so do think on those lines too. it would be any time better to have a family floater kind of Insurance plan so that in the coming years your complete family can be covered in one plan. It maybe a possibility that your next employer might not have the coverage facility.

4. You mentioned "If you choose a good MF" can you let me know the how you would define good MFs, is there a thread in which this is being discussed, or any such good reading in this regard?

A good MF is one which has stood solid both in good and bad times. The ones who have performed well during the last bull run, the recent recession and the present bull run. You can visit sites like Moneycontrol.com or valueresearchonline.com where the MF are star rated based on their performance. Choose the one who have given good retruns over the last 3 or 5 years. For eg. Birla Sunlife Frontline equity fund, HDFC top 200, IDFC premier equity fund, Sundaram BNP Midcap fund etc. Start an SIP in each of the fund type - equity diversified (large cap), Eqty diversified (Small & midcap), Good debt fund, Gold ETF etc.

Hope the discussion helps. I also support many who have advocated PPF since its totally risk free. But looking at your age, you should be able to take some risks. There are many risk calculators available in most of the financial websites, do check them and find how much you need to save to achieve your goals.

[xingamazon]

Can anyone please repond to the query I had raised on this?
Anybody used the Online insurance till date? Is this effective?

Here is the linke of ICICI Online Term assurance rates,
ICICI Prudential

Originally Posted by xingamazon

1. Has anyone tried online Assurance scheme, on random check I was shocked to see the ICICI Prulife offering 1 Cr cover for only 9.8K How good are these schemes anyone had any experience of any relatives recovering the amount, thoough my heart says LIC, slightly thinking about this also.

[ghodlur]

Originally Posted by xingamazon

Can anyone please repond to the query I had raised on this?
Anybody used the Online insurance till date? Is this effective?

Here is the linke of ICICI Online Term assurance rates,
ICICI Prudential

I checked in an Insurance Comparator website and the amount offered by ICICC is same. Although I haven't taken any life insurance online but the pvt Insurers are offering such low premium for high Sum assured taking into consideration the competetion. Like Aegon Religare is offering for SA of 1 cr a premium of 9156 for a 15 yr term which is supposed to be the lowest among all.

Pls check the below link for the comparison. .
Online Insurance Quotes: Compare Car Insurance, Life Insurance & Health Insurance India

I think recently BHPian aargee was looking out for a term Insurance, you may PM him if he's got the insurance done online.

[rkg]

Originally Posted by xingamazon

Can anyone please repond to the query I had raised on this?
Anybody used the Online insurance till date? Is this effective?

Here is the linke of ICICI Online Term assurance rates,
ICICI Prudential

I have taken online policy from Aegon religare. i think two others also taken. go through this thread in the last three months posts.

As of now ICICI, Max newyork life and Aegon religare are offering online term plans.

In online term plans Insurance companies save on Agents commision and other overheads, hence the premium is low.

Dont think of LIC amulya jeevan . it is costly. Aegon religare site gives the comparitive quotes of other companies also. check it.

Valueresearchonline is a good site for MF guidance. check it

[xingamazon]

Hey RKG,
thanks for the suggestion, will check the old threads and will also check the Aegon religare site.

How is the process do they arrange for medical tests post you apply for insurance etc? How good are they in terms of reliability, would it be better to put half sum assured in LIC and remaning half in such online insurance companies.

[rkg]

Originally Posted by xingamazon

Hey RKG,
thanks for the suggestion, will check the old threads and will also check the Aegon religare site.

How is the process do they arrange for medical tests post you apply for insurance etc? How good are they in terms of reliability, would it be better to put half sum assured in LIC and remaning half in such online insurance companies.

While applying online, you have to chose the date for medical. they will call you about the date, time and place of the medical. some one else will come and collect forms from you.

It is better to take term policy form one of the online firms rather than going for LIC. The premium will vary according to sum assured also. Insurance companies will have slabs for discounts. In my case the premium for 49 lakhs is more than that for 50 lakhs by few thousands.

I do not see any problem with claims ( it is my personal opinion) with these firms as all have to function as per IRDA norms and guidelines. I have pure term policies from HDFC standard and also from SBI life since more than 5 years. Now i have taken one from Aegon religare. I will be discontinuing the HDFC and SBI from next year.

This is the beauty of term policy. You can just dump later on if you are getting better cover for the same premium or less premium as there is nothing to loose

The way insurance industry is going , it is definite we will get still cheaper term policies in future.

The premiums for term policies have gone down by more than 100 % in the last 5-10 years

[deeps79]

Hi
Need help of insurance experts out here. I have a moneyback policy (LIC), which i am thinking to surrender now (taken 6 yrs back) and opt for pure term plan.
Reason being, me and my wife has opted for a joint home loan of 40Lakhs and now we want to cover for that and be secure incase of any event.
Is there a term plan in which we both (husband and wife) and get term plan together or we have to opt for two different term plans ?

[BaCkSeAtDrIVeR]

1. I had posted a link to bonus rates announced LIC couple of posts back. Please look at them and check what terminal bonus you will get. IIRC, if you want for 7 years, you will get slightly higher returns.

2. How long is the money back policy term?

3. For a 40 L home loan, please check with your loan provider. SBI life has a scheme which covers the loan amount only for a very small one time premium, which is covered by loan amount. Most housing loans from SBI and associate banks are covered by this. I guess others will have similar coverages.

These policy will NOT give you any thing in case of occurrence of insured event. Recoveries from the policy go to repay the loan only. Means, around half way through the loan term, you have 30 Lakh dues, the policy will pay only 30. If the dues are 10 lakh, the policy will pay only 10 Lakh.

Therefore, the premium is usually lower. IIRC, it was 4 K and odd for a one lakh policy from SBIlife for 10 years. Not sure of the premium rates though.

Please check with your loan provider itself. Else, get in touch with SBI life or agents. I guess a single policy will do - to cover the housing loan only.

[deeps79]

Thanks for Reply

1) will check that...

2) its for 25 years, last yr i receieved back some money after 5 yrs time (around 90k)

3) Considering all that you mentioned, Is it worthwhile to go for home loan insurance ? i have not heard much good about them even though its one time.
My wife doesnt have any insurance yet....and i am not so sure that moneyback is the best option for long term.....i didnt have much knowledge when i opted for it.

i took loan from LIC HFL.....

Originally Posted by BaCkSeAtDrIVeR

1. I had posted a link to bonus rates announced LIC couple of posts back. Please look at them and check what terminal bonus you will get. IIRC, if you want for 7 years, you will get slightly higher returns.


2. How long is the money back policy term?

3. For a 40 L home loan, please check with your loan provider. SBI life has a scheme which covers the loan amount only for a very small one time premium, which is covered by loan amount. Most housing loans from SBI and associate banks are covered by this. I guess others will have similar coverages.

These policy will NOT give you any thing in case of occurrence of insured event. Recoveries from the policy go to repay the loan only. Means, around half way through the loan term, you have 30 Lakh dues, the policy will pay only 30. If the dues are 10 lakh, the policy will pay only 10 Lakh.

Therefore, the premium is usually lower. IIRC, it was 4 K and odd for a one lakh policy from SBIlife for 10 years. Not sure of the premium rates though.

Please check with your loan provider itself. Else, get in touch with SBI life or agents. I guess a single policy will do - to cover the housing loan only.

[BaCkSeAtDrIVeR]

A friend expired at the grand old age of 36. He was 5ft 10 inches tall, weighed only 68/70 kg, and died of a heart attack. (No not making up a story).

Had housing loan outstanding of 1 lakh only. His income was around 5K INR per month. Wife is class 8 fail. 3 kids.

And no insurance policy of any kind.

Now, consider whether a "housing loan only" insurance policy is worthwhile.

A single premium housing loan only policy takes the headache out of your annual financial planning. The costs are built into your loan costs itself, if possible. And the premium would be far less than annual premium for a term loan.

[deeps79]

Point taken....
Thanks

Originally Posted by BaCkSeAtDrIVeR

A friend expired at the grand old age of 36. He was 5ft 10 inches tall, weighed only 68/70 kg, and died of a heart attack. (No not making up a story).

Had housing loan outstanding of 1 lakh only. His income was around 5K INR per month. Wife is class 8 fail. 3 kids.

And no insurance policy of any kind.

Now, consider whether a "housing loan only" insurance policy is worthwhile.

A single premium housing loan only policy takes the headache out of your annual financial planning. The costs are built into your loan costs itself, if possible. And the premium would be far less than annual premium for a term loan.

[whitesquall]

I am contemplating buying the "Child advantage Plan" from Kotak Mahindra for my baby. Any comments? Suggestions? I thought that policy is much better than the ones' provided by SBI Life and Religare. . .and also the good old LIC.