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Jeffery Said:

I have invested RS 50000 as first premium in HDFC young star plus 2 insurance plan and need to pay premium fir?

We Answered:

In India unfortunately there is no regulation over the commission of Insurance Agent.So many(not all) Insurance Agent only sells the policy which gives more commission.This commission amount taken from your premium amount.So your premium was not totally invested.It was invested after deducting allocation charges which is 60% in your policy.It means only Rs.20000 are invested in the fund out of Rs.50000.Also the policy administration charges are very high Rs.60/month.On 2nd year allocation charges are 7% & 2% onwards.You have to pay minimum 5 Yr.premium.Inspite all of that the overall policy is good if you taken maximum sum assured which is prime objective of Insurance policy(Rs 20 Lakh in your case & I am sure that a Insurance agent which sold policy only for commission will never give you maximum sum assured as he dont know the prime objective,his prime objective is to earn more & more commission only)
Please visit http://www.hdfcinsurance.com/Products/Downloads/UL_Young_Star_PlusII_nov.pdf , for more details.

Brian Said:

Can a life insurance policy EVER become effective without collecting the first premium?

We Answered:

No.

An insurance policy is a type of CONTRACT. Legally, a contract isn't a real contract, until both parties have put in their part of the deal.

YOUR part, is the money. The insurance company's part, is their binding promise. If you pay your money, and the company hasn't givin a binding promise, well, the contract is not in force. If the company gives the binding promise, and you haven't paid the money, it's still not in force.

BOTH PARTS of the contract have to be met before it's active.

Dwight Said:

Can you buy homeowners insurance without paying the whole first years premium?

We Answered:

Many insurance companies will allow you to pay your homeowners payment in installments.

HOWEVER, if you're buying a home, and the insurance is being escrowed, you'll need to pay the premium in full for the first year, as part of the closing requirements.

Derrick Said:

insurance policies lapsed just after first premium?

We Answered:

If the policy lapses that means that the insurance cover is lost. This does not necessarily mean that the investment is lost. Ideally the money that you paid as the first years premium should remain locked in till the end of 3 years after which the policy should get automatically surrendered.

What actually will happen, will clearly indicated in your policy document. Go through it. If there is still doubt, contact any office on the insurance company. If there is still doubt, post the name of the policy and we could look at the product brochure of the same.

Regards,
Ripul

Johnnie Said:

The first part of Obamacare started yesterday did your health care insurance premium go down today?

We Answered:

nope.most major carriers announced that they will not cover children only policies making his policy a waste. typical lib

Alma Said:

Is the insurance premium deducted from my salary part of my taxable income?

We Answered:

It can go either way. If you have a pre-tax plan or after tax plan.

Find out from your employer.

Nancy Said:

Insurance Agents supposed to pay first Premium?

We Answered:

As per insurance act 1938 section 41 no agent can offer any rebate to the proposer. It's an offence. But at present most of the agent offers rebate to the prospective customer & generally it is the First premium(yly installment) commission along-with the bonus payable to the agent. No agent will offer 100% rebate if he does so than it will be charity. So if you are buying a money back plan you can expect 20 to 30% rebate for your annual premium.