If you are buying a Unit Linked Insurance Policy (ULIP), then definitely ask questions related to different fees, fund options, fund switching. Whenever you are filling the form to buy an insurance policy, fill it completely and with correct information.
Your life and your earning capacity is the biggest asset of you and your family. Life insurance policy is the best way to take care of your family even after your lifetime. In such a situation, it is important to decide to buy a good insurance policy. But whenever you are taking a life insurance policy of an insurance company, you should consider some things. It is also important to keep in mind what to do and what not to do while buying a life insurance policy. Let us discuss these things here.
Know what to do while buying a policy
Why are you buying a policy and ask a lot of questions
Whenever you are thinking of buying a policy, consider why you are buying insurance and what are your main requirements and expectations. Always make the decision with an open mind but be cautious about advice and information. Ask a lot of questions about the policy options to find out what is right for your needs. Find out the policy details, such as whether it is a single premium or regular premium policy. Also check if you can pay the premium annually, half-yearly or quarterly, according to insurance regulator IRDAI. Is there an ECS (Electronic Clearing Service) payment option to make your premium payment secure and easy?
Fill the form carefully and personally
Whenever you are filling the form to buy an insurance policy, fill it completely and with correct information. Remember that you are responsible for its contents. Also, ensure that the information provided by you cannot be disputed during a claim. Make sure you fill the nominee form as well. Also, if the form is in one language and you are answering questions in another language, ensure that the questions are explained to you correctly and you have understood them completely. You will have to declare this in the proposal form.
Keep a copy with you
Experts say that you must keep a copy of the complete proposal form signed by you. It may contain any mutually agreed declaration and conditions for your records. If you are buying a Unit Linked Insurance Policy (ULIP), then definitely ask questions related to different charges, fund options, fund switching. Also ask what will be the option if you discontinue the policy or surrender it or want to make a partial withdrawal of the fund.
Do not do this while buying the policy
The insurance regulator says that while buying a life insurance policy, do not leave any column blank in the proposal form. Take special care that the proposal form is not filled by any other person. Do not let anyone else fill it. One very important thing is that do not hide any information or fact while buying insurance. By doing this, you may face trouble while making an insurance claim. Finally, keep in mind that you must always pay your insurance premium on time. There should be no delay in this.
