In August 2003, I bought a house collectively with my spouse. However, I’m the only contributor to the quantity paid for the flat. Additionally, I’ve taken a house insurance coverage coverage from Bajaj Allianz, the place I’m the proposer, offering protection for the market worth of the house in case of full destruction as a result of a pure calamity. In the occasion of such a tragedy, will the insurance coverage declare quantity be paid completely to me, the proposer, or will it’s cut up equally between me and my spouse?
—Name withheld on request
An necessary insurance coverage precept is that solely those who have an insurable curiosity within the property might be paid an insurance coverage declare. So, one of the simplest ways of demonstrating insurable curiosity is to be an proprietor of the property. Considering your presumed curiosity within the property is of solely 50%, it is strongly recommended that you simply get the title of your spouse added to the coverage as a co-insured. In conditions like this when a number of events can stake declare to the insurance coverage payout, the insurer typically settles the declare within the title of the insured, if all different stakeholders present a no-objection clearance certificates. As an excellent observe, the names of the insured needs to be the identical because the names of the homeowners of the property.
I’m 32-year-old IT skilled, married and have a son. I’m contemplating getting life insurance coverage protection and need to discover choices that may doubtlessly scale back the premium for the duvet. Can the premium quantity be decreased by deciding on totally different modes of cost or adjusting the frequency at which I make the premium funds?
—Name withheld on request
You can choose to pay premiums in month-to-month, quarterly, semi-annual or annual mode. The cowl stays the identical regardless of mode of cost. However, the premium price doesn’t scale back. Generally, insurers mannequin premium for a product on annual mode of cost. Thereafter, the premium for different modes is calculated. Typically, there’s a loading on the annual quantity. So, a semi-annual premium could be increased than the pro-rated annual premium.
Abhishek Bondia is principal officer and MD, at SecureNow.in
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Updated: 31 Jul 2023, 09:56 PM IST