What is insurance
Insurance is a legal contract between the insurer and the insured, i.e. the insurance company (insurer) and the individual (insured). In this case,
the insurance company insures the insurer’s property, vehicles, and some insured property in the event of an accident.
This event must have been accidental. For example, the occurrence of death and natural damage to property must be accidental. The insurer pays the premium in return for the promise made.
How does insurance work
The insurer and the insured receive a legal contract for insurance, which forms the basis of the insurance policy. Sum Assured The insurance company must pay the sum insured to the insured person or persons nominated by him.
Insurance is a component that helps you in the event of damage to your family and economic downturn. Generally, the premium for a large sum insured is very low in terms of the amount paid. Insurers take this risk to offer higher coverage for mig small premiums because very few who are insured end up claiming insurance. This is why you get insurance for a large amount at a low price.
Any ordinary people or company can get insurance from the insurance company, but the right to buy insurance belongs to the insurance company. You will need to fill out an application to claim the insurance company. In general, insurance companies not provide insurance to high-risk applicants.
Types of insurance in force in India: –
Insurance in India can be divided into three categories:
Life insurance is your whole life insurance. In case of untimely death of the insurer. Financially protected persons or family recommended by the insurer. Life insurance is best suited for a family in certain circumstances for example if you are the sole breadwinner for your family or your family member is only looking forward to your income, this type of life insurance will help the insurer to pay the policy amount to his family through him after the expiry of his term.
Medical insurance is a type of insurance that can be of great help to an individual during periods of high medical expenses during illness. Medical insurance covers a wide range of types or diseases. You can get medical insurance for specific illness or general medical expenses.
Motor vehicle insurance(Car insurance)
In line with the growing population all people are more attracted to vehicles. Thus more Bengalis are being sold. This is especially important for car owners who need to get car insurance. This insurance is an excellent insurance that protects you and your vehicle. These protect your vehicle from the dangers of tsunamis and earthquakes during natural disasters. This includes liability for third party purchases.
Child education insurance is like life insurance, it can be a great savings tool for you. This insurance is an insurance that will give your children a large sum of money needed for higher education. These funds can be used to pay for your child’s higher education expenses. This insurance plan can be obtained by your child through you or your recommended persons.
Born as human beings we all need a home of our own luxury in life whose purpose is to provide you with this type of home insurance. This will help to protect against natural disasters such as floods, tsunamis, earthquakes and fires.
Tax incentives for insurance
In addition to the security and security benefits of buying insurance, there are also income tax benefits that you can receive.
Life insurance premium up to Rs 1.5 lakh can be claimed as tax savings exemption under Section 80C You and your family can claim a medical insurance premium of up to ₹ 25,000 and your parents up to ₹ 25,000 for tax savings under Section 80D. These claims must be made at the time of e-filing the income tax return.
You can apply for and obtain all types of insurance, whether life insurance, health insurance or general insurance, both offline and online. Just like there are insurance agents who can help you buy a policy, there are also websites from which you can buy the policy. Contact the insurance company before getting the full details and then take out the policy
We hope you have found clear details about insurance through the above lines.