New Experience – HDFCLife Virtual Assistant

As mentioned in our earlier article “Due to mobile phone penetration and good network availability, banking sector is now constantly working on innovative products for their customers. “. HDFC Life introduced their Virtual Assistant “Elle”.

What is Virtual Assistant?

As per wikipedia “A virtual assistant is a software agent that can perform tasks or services for an individual. Sometimes the term “chatbot” is used to refer to virtual assistants generally or specifically those accessed by online chat (or in some cases online chat programs that are for entertainment and not useful purposes).”

HDFC Life’s Elle is a Chatbot. Elle can help you to:

  • Check Fund Value
  • Check Units
  • Premium Amount
  • Premium Due Date
  • Premium Frequency
  • Premium Receipt
  • Sum Assured
  • Payment History
  • Annual Premium Statement
  • Annual Unit Statement

As per Wikipedia “A chatbot (also known as a talkbot, chatterbot, Bot, IM bot, interactive agent, or Artificial Conversational Entity) is a computer program or an artificial intelligence which conducts a conversation via auditory or textual methods.[1] Such programs are often designed to convincingly simulate how a human would behave as a conversational partner, thereby passing the Turing test. Chatbots are typically used in dialog systems for various practical purposes including customer service or information acquisition. Some chatterbots use sophisticated natural language processing systems, but many simpler systems scan for keywords within the input, then pull a reply with the most matching keywords, or the most similar wording pattern, from a database.”

7 Things to do after buying a Health Insurance Policy

You bought a Health Insurance, that’s great; as most of the people either thinks the insurance provided by their employer is enough or it is not required at all. Only buying a Health Insurance is not enough, follow below things just after buying your Health Insurance Policy:

 

  1. Check the policy document :

Immediately after receiving the policy document, verify all your personal details, policy term, sum assured etc are proper or not. Check for inclusions and exclusions that may have been overlooked while buying the Health insurance plan.

  1. Inform your spouse / all policy holders:

Inform your spouse/all policy holders about the Health insurance. Keep the policy document at a safe place which should be accessible to your spouse/all policy holders. Explain the claim procedure, whom to contact, what all documents are required etc.

  1. Do not forget/miss to renew your Health insurance

Put a reminder or set up ECS (electronic clearance system) to pay automatically, so that your policy is In-Force.

  1. Review your Health Insurance time to time

Time to time verify whether your present sum insured is enough as per your current requirement. Due to marriage, child or life-style changes we might have to increase sum assured or adding new member to the Health Insurance Policy.

  1. Create an Emergency Fund

Your Health Insurance policy will not be completely Cash-less. You have to pay for all the non medical expenses. Hence even through your Health Insurance Policy will cover you 100%, you have to always keep some liquid money for handling non medical expenses.

  1. Maintain a Offline Folder

Your offline folder should contain hard copies of following documents. Make sure you inform your spouse/all policy holders about this folder and ask them to take this folder in case of any medical emergency:

  • Printout/given hard copy of your Health Policy document, which should contain the premium receipt.
  • Photo copy of ID proof of all the members included in the Health Policy.
  • List of cash less hospitals tied up with your Health Policy Insurer.
  1. Last 3 years of policy document along with the premium receipt:

Sometime last 3 years of policy document along with the premium receipts are asked by the Third Party appointed by your Insurer at the time of claim. Hence better to keep these.

If you want to know the best way to buy a Health Insurance Click Here.

India’s First Cyber Safe Insurance Policy by Bajaj Allianz

On November 2nd 2017 Bajaj Allianz has launched ‘Bajaj Allianz Individual Cyber Safe’ policy, a cyber-protection product for individuals, which provides coverage to customers who fall victim to threats such as cyber-attacks, cyber extortion and cyberbullying.

As you can see more and more people are doing digital transactions on daily basis, cyber risk are also increasing. People are victimized of E-mail Spoofing and Phishing. Important data are getting lost due to Malware.

Announcing the launch of the cover, Tapan Singhel, MD and CEO of Bajaj Allianz General Insurance said, “In an increasingly connected digital world, the amount of personal data being generated, transmitted, and stored on to various digital devices is growing at an exponential rate. The critical nature of this data and the complexity of the systems that support its transmission and use, have created a gamut of cyber risks. Therefore, with cyber-attacks and threats becoming more sophisticated and prevalent, at Bajaj Allianz we identified the need for a cyber-Insurance cover for Individuals.”

He further adds, “With this cyber insurance cover, Bajaj Allianz has reinforced its commitment to provide innovative new-age risk solutions to our retail customers. This offers them a coverage against various cyber-attacks and threats, hence protecting their reputation, potential data breaches and losses in case any vital, financial or sensitive information is stolen or misused.”

Benefits of ‘Bajaj Allianz Individual Cyber Safe Insurance Policy’ are:

  • Covers identity theft, cyber stalking, phishing, cyber extortion, media liability, social media cover, etc.
  • Provides cover against financial loss, defence cost, prosecution cost, IT theft loss, restoration cost, etc.
  • Sum Insured ranges from Rs 1 Lakh to Rs 1 Crore, can be availed by individuals above 18 years

For more information please contact “Service (General Insurance)” from https://www.bajajallianz.com.

7 Things to do after buying a Term Insurance Policy

First of all congratulations for buying a Term Insurance Policy. You are among the few people who understood the importance of taking a pure life insurance and not mixing insurance with investment. Your task will be incomplete if you do not ensure below things:

  1. Check the policy document

Immediately after receiving the policy document, verify all your personal details, policy term, sum assured, your nominee etc are proper or not. Check for inclusions and exclusions that may have been overlooked while buying the term insurance plan.

  1. Inform your spouse/nominee

Inform your spouse/nominee about the term insurance. Keep the policy document at a safe place which should be accessible to your nominee. Explain the claim procedure, whom to contact, what all documents are required etc.

  1. Do not forget/miss to renew your term insurance

Put a reminder or set up ECS (electronic clearance system) to pay automatically, so that your policy is In-Force.

  1. Review your Term Insurance time to time

Time to time verify whether your present sum insured is enough as per your current requirement. Due to marriage, child or life-style changes we might have to increase the sum assured.

  1. Make sure your Nominee is always updated as you wish

Might be you have nominated your parents for your term insurance when you were unmarried at the time of purchase of this policy. Now you are married and you want to add your spouse in the nomination list.

  1. Educate your nominee about how to use claim amount

This is very important point. You know why you have taken the Term Insurance. You have an idea that of anything happens to you then how your dependencies should use the claim amount. But if you did not share this idea or the dependents are not capable of handing the money then your actual intension of taking the insurance will not be fulfilled. Hence you must inform your dependents how to use the claim amount.  You can do the below mentioned things:

  • Write down the complete plan how to use the claim amount, only if you know how to do.
  • Or you can take help of a Fee Based Certified Financial Planner, make the plan and share with your dependencies.
  • Or you share the contact points of a Fee Based Certified Financial Planner and ask your dependency to contact them.
  1. Do not rely only on your Term Insurance

You should keep on investing your money as per your goals and increase your investments as your income increases. Make sure your family can survive at least 9 months without your income at any point of time to handle any uncertainties.

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What is Umbrella Insurance?

Umbrella insurance is extra liability insurance. This protects a policyholder from any lawsuits and gives extra liability coverage over the limits of house insurance, car insurance etc. Umbrella insurance comes into effect when you exhaust the limit of your other insurance policies. It also provides coverage for claims that may be excluded by other liability policies including: false arrest, libel, slander, and liability coverage on rental units you own.

So what Umbrella Insurance Covers?

  • Body Injuries Liability: Cost of medical bills and/or liability claims of damages to another person’s body
    • Because of your fault there is a serious auto accident to other person
    • Injuries due to your dog
    • Injury caused by a fall inside your house
    • Injuries sustained by a neighbour’s child who falls while playing in your premises
  • Property Damage Liability: will cover the cost of damage or loss to another person’s tangible property.
    • Due to your fault there is damage to vehicles and other property as a result of an auto accident.
    • Damage caused to school property by your kid
  • Owners of Rental Units: Possible liabilities that they can face by the landlords.
  • Liability protection against libel (unhealthy written statement), Slander (unhealthy spoken word), false imprisonment/detention.
  • Malicious prosecution

What Umbrella Insurance does NOT cover?

  • War
  • Asbestos exposure
  • Any obligation of the Policyholder under Workers Compensation Law

Who Needs Umbrella Insurance?

As mentioned Umbrella insurance is extra liability insurance, hence if you have good amount of assets which you want to protect from a lawsuit then you can consider buying an Umbrella Insurance.

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Top 5 Health Insurance Myths

Below are Top 5 Health Insurance Myths:

Myth #1: All the benefits by the Health Insurance are from the Day 1

There is a waiting period usually 30 days followed by every Health Insurance policy. In this first 30 days from the commencement of the policy none of the diseases are covered. Only in case of accidental hospitalization, the policy will cover the expenses.

Myth #2: One needs 24 hour hospitalization for claim

Due to advent of technology, there are cases where hospitalization is not required even someone goes for a surgery. For example, now a day’s patient can go home within few hours after the cataract surgery. Such treatments are also called Day Care procedures and are covered under the Health Insurance Policy.

Myth #3: Too young to have a Health Insurance

No one can predict the future. Diseases like dengue, malaria, food posing can victimize anybody…..healthy and young people too. Also due to the current life style, youngsters are getting many issues with their health. Hence possibilities are higher of getting hospitalized, which can hit your current financial situation. When you are young and healthy; you will get the Health Insurance without any extra clause from the insurer. And if you postpone and try to take the Health Insurance later, there is a chance of getting rejected due to diseases you have built over the time. It will be difficult for you if you can’t get Health Insurance when you need the most. Hence it is always suggested to go for a Health Insurance when you are young and healthy.

Myth #4: Health Insurance provided by the employer is enough

Group Health Insurance provided by your employer will be with you till you work. Once you retire, most likely you will not have this Group Health Insurance, this is the time when you need Health Insurance the most. If you want to get a Health Insurance once you are retire, there is a chance of getting rejected due to your health issues. Also you are not covered with your employer provided Health Insurance at the time of Job change or Job loss.

Myth #5: Need to check network hospitals before buying

Yes , it is always better to check the network hospitals in the places where you are living. But this should not be the only criteria while buying a Health Insurance. This is because network list of hospitals changes time to time in a Health insurance. Hospitals also take care of certain parameters to avoid getting blacklisted. All Health Insurers update network hospital list on monthly basis and the same can be found in their website.

Summary: As medical bills can hamper your financial situation, it is always better to protect yourself with a Health Insurance.

If you want to know the best way to buy a Health Insurance Click Here.

Top 5 Life Insurance Myths

Below are Top 5 Life Insurance Myths.

Myth #1: If you are young and healthy, you do not need Life Insurance

Young and healthy is not a reason to not having a Life Insurance. Sooner or later you are going to get married and will have dependency. Later your health status also could change. Hence it is always better to protect your future. If you buy Life Insurance when you are young and healthy; you are going to pay very less premium.

Myth #2: Life Insurance is expensive

Life Insurance like Term Plan offered by many companies via online are reasonable priced. With a small amount of premium you will be able to get good amount of life cover. This way your family will be able to handle basic needs in your absence.

Myth #3: Life Insurance Term Plan is waste of money

No, it is not waste of money. As with very little premium you are getting good life cover, it makes a sense. The premium will be much higher if you want the similar life cover with money back policies.

Myth #4: Life Insurance is only for breadwinners

No, Life Insurance is equally important for other family members apart from the breadwinners. What if something goes wrong to the lady of your house? Taking care of house and kids needs time and money. You can take some time off to adjust the loss if she has life coverage.

Myth #5: Life Insurance provided by the employer is enough

Most of the time Group insurance provided by the employer is insufficient for the dependent needs. Also what if something goes wrong at the time of job loss or job change? Hence it is always recommended that irrespective of Life Insurance given by the employer, you take a Life Insurance by your own.

Summary: It is very important to understand why you need a Life Insurance and how much. Once you have these answers, take the appropriate action.

“Hope for The Best and Prepare For The Worst”.

To know the best ways of including a Life Insurance you can Click Here.

6 Points to upgrade your Health Insurance

Why do you want to upgrade your health insurance?

You already had calculated and taken your health insurance, then why are we talking here about health insurance upgrade. It’s because over a period of time our requirement changes and one more thing is the inflation. That’s why it is always recommended at the beginning of each financial year, we should evaluate our insurance requirements.  Below are 6 points to upgrade your health insurance.

 

  1. Member addition

    • You got married or blessed with kid/s, either case you want to upgrade your health insurance policy. You will be able to include the new member to your existing policy at the time of renewal of the policy. Contact your insurer, provide all the information of the new member, fill the health declaration form & other required details and once the insurer grants the application, new member will be added.
  1. You are not satisfied with your current insurer

    • Due to any reason if you are not satisfy with your current insurer, you can transfer your policy to any other insurer as per your choice. For smooth transaction start the process 2 months prior to the renew date of your current policy. First contact the newly chosen insurer and inform all your requirements and give the details about your current policy. When you transfer a health policy from one insurer to other insurer you will carry forward number of years you spent with your old insurer. This will be applicable for any waiting periods, such as for pre-existing health issues, maternity benefits etc. It’s up to the newly chosen insurer who will decide about your premium; accept/reject your policy application.
  1. Top up health policies

    • Top – Up: It is per claim deductable. You will be eligible only if at the time of claiming the hospitalization bill crossed the threshold limit. For example, you have taken a top-up of 10L with deductable as 5L then whenever you want to claim, the total medical bill should be more than 5L. If in one policy term, you get hospitalized two times and first time the total bill is 4L and in the second time the total bill is 3L; even though total bill is 4+3=7L you are not eligible for the claim. This is because none of the time the total bill exceeded 5L.
    • Super Top-Up: This is an enhance version of the top-up policy. In this case you are eligible for claim whenever the total medical bill in one policy term exceeds the threshold limit. In the above 4L and 3L example, you will be eligible for 2L claim (7L – 5L). Super top-up policies are very helpful, as the premium will be less due to the threshold limit, with a very small premium you will get very good insurance cover.
  1. Want to safeguard your personal finance against the critical illness

    • Critical illness health insurance plans are really helpful as the lump sum benefits given at the time of diagnosed with the critical illness irrespective of the actual expenses incurred for the treatment.
  1. Inflation

    • Hospitalization and treatment cost are rising. Hence it is always recommended to map your health insurance cover properly with the inflation.
  1. Upgrading the existing plan

    • Might be your existing plan has room rent cap or co-payment and you want to move out from these restrictions. Check with the insurer and do the necessary changes and policy renew time is the best time you do changes to your existing policy.

Checklist while buying Health Insurance.

HealthInsurance_vsmallBelow checklist can be used while buying a health insurance policy:

  1. Fill the application form by yourself.
  2. Disclose all the health related information correctly including your parents.
  3. Read the product brochure and check what they offer, what is covered, what is not covered, waiting period for maternity benefits/pre-existing diseases etc.
  4. Better to avoid co-payment options.
  5. Better to avoid room rent cap. This is because, based on room rent hospital charges different rate for same facilities differently (doctor visit, nursing etc). If because of some reason we have to take a policy with room rent cap, then make sure to take the room whose rent is within the limit of the room rent cap of the policy. Otherwise we will be surprised at the time of final settlement that we need to pay some part of the money from our pocket even though the total bill is within the sum assured.
  6. To get the maternity benefit few company puts clause as both husband and wife should be covered in the same policy. Check the policy wording carefully.
  7. Check the network hospital list based on our current place and future place where we will live after retirement.
  8. Make sure our premium affordability. Since it is a commitment. Do not take unnecessary burden; we need to be within our limit.
  9. Take the online route to buy the policy. Policy premium will be cheaper.
  10. Once we receive the policy document, go through them properly. Since we have 15 days in our hand to take a call for canceling the policy.

Check more information about Health Insurance to protect our Personal Finance.

Checklist while buying Life Insurance.

Insurance_vsmallBelow checklist can be used while buying life insurance online or offline.

  1. Think and try to get the answer ‘Why are you buying insurance and is this going to fulfil your requirement? Also can you afford the premium?”
  2. Verify whether Insurance provider is registered or not with IRDA.
  3. Ask for license or ID card for Agent/Broker (if you choose to go via this route)
  4. Read the policy document (available in company’s website) and check what the policy covers and what not.
  5. Fill the Application Form yourself. Answer all the questions properly (do not lie, insurance company can find it out at the time of claim or via health checkup. Because of wrong information, insurance company can reject the claim)
  6. If you were smoker within the past 7 years and recently quit. Still insurance company will treat you as a smoker/tobacco user category. So do not lie.
  7. If you already have any insurance, please make sure to update all those insurance details.
  8. Provide correct information about your family (parents) health history.
  9. Do not forget to mention Nominee.
  10. Once you pay and your policy gets approved. Insurance company will send you the Hard Copy of the policy. Go through the received policy document carefully and if you are not satisfied with the policy wording or mismatch with the promise while taking the policy, you can cancel the policy within the 15 days and can get the complete refund.

Read more information on Insurance and How to Use Insurance to Protect our Personal Finance.