if your agent says simple declines to serve you for eg. after 1 year when the policy is taken.Despite of the fact that he wil continue to earn his commision till the policy continues,what can we do as a policy holder in this case ?
1) Can we shift to other agent ? 2) If above is possible,how will he earn from a policy which is not taken from him?
RE:abt term insurance policy
by Sridhar Uravakonda on Feb 03, 2007 02:36 PM Permalink
This is the purest form of life insurance...one example is "Jeevan Anmol" from LIC (refer licindia.com). It just pays for your life...with no returns after maturity.
I am sure you might have a 2-wheeler / 4-wheeler and you would be paying insurance for them...if you understand how vehicle insurance policy works...then a term insurance is almost similar to that...
We should thank Rohan S and Rediff for allowing him to write this article. All over the world Term Insurance is sold , except India.Term Plan costs only one-tenth of most of the plans.So naturally comission of the agent will be one tenth.That tells you something. Even CS Rao ,Chairman of IRDA says in Outlookmoney that he is helpless bcoz of misselling of policy(search in google by %u201Cwhy agents missell life insurance policies%u201D ). I would also request you to search in google by %u201CIs Term Policy the best and cheapest policy%u201D . However there are some Pension Plans etc. where commission is extremely low -which is also good for an investor(apart from Term)- but agents will never tell you that policy. To know more email at bomadg@rediffmail.com
Nice Articles. But let us not hate our insurance agent. The right approach would be to understand our own insurance needs at various life stages and take cover accordingly. Moneyback, ULIP serve their own purposes. Milestone payments, element of compulsion , discipline in investing, long term retirement planning are best served through insurance policies.
Your view are not giving the correct information to the readers .Please do not write anything which is not known to you . because of insurance lot of families are saved from the various difficult situations.
RE:Do you trust your insurance agent?
by Dipayan Chatterjee on Jan 31, 2007 08:11 AM Permalink
Anywere in the world ,Insurance is sold only through agents,and the constitude an important sement of the Industry,if some agents give wrong information please to not condemm a community,there are very honest agents who are as old as our grandfathers,and they are basically doing a service to society.
RE:Do you trust your insurance agent?
by Koushik Paul on Jan 30, 2007 08:34 PM Permalink
Your idea is great Prachi, but customers have an even more rights to know what is good for them.
RE:Do you trust your insurance agent?
by vijay ajit chhaira on Feb 27, 2007 05:59 PM Permalink
prachi you are absolutely right ...one must not write what he dont know...and even if some of your relative gives any of the plan each one is beneficial either today or tomorrow in one or the other way...v_chhaira@rediffmail.com
It is not only unfair but also unethical to hold the total insurance community responsible for a small no. of agents who may be doing wrongful business. Can you believe that LIC has lost 28% business due to private players, in spite of the fact that they have enjoyed absolute monopoly for over 50 years. Selling insurance is not an easy task. Apart from this, with Unit linked Insurance Plans, it is becoming common to buy term care through investment plans. There is governing body called IRDA to regulate the whole business and each plan brought into market by each company has to be pre-approved by IRDA. It will be better to analyse the company's performances over the past 6 years before commenting. LIC also pays highest commissions to the agents. In spite of that what is the guarantee that good services will be continued by the agent for next 20-25 years ? Despite all comments, it must be understood that everybody will try to maximise own benefits, as no agent receives a regular salary and PF, ESI, Gratuity benefits. Finally all agents are human beings and their rationale will be similar, whether they are LIC agents or private insurers' agents. Each policy has a 15 days "free look period", allowed by IRDA Act and anyone who feels has been deceived by the agent, has every right to return the policy documents without losing any premium except medical expenses if any and handling charges. Not even 1% policy buyers know this clause and go through the policy document for details. Let us not make baseless allegations on the entire community. There are many who have taken this as a noble profession.
