Changes in LIC Policies

5 NEW CHANGES IN LIFE INSURANCE POLICIES AND WHAT IT MEANS FOR YOU On October 26, 2018, IRDAI (Insurance Regulatory and Development Authority of India) has proposed significant changes in life insurance policies aiming to give a better understanding of the product, the regulator has set considerable benefits for its policyholders. Have a look at these five important changes proposed by IRDAI and understand what it actually means for you: =|1|= Minimum death benefit has been made 7 times for regular premium products and 1.25 times for single premium products for all ages. Current status: The current status for less than 45 years of age is 10 times and for greater than 45 years, it is 7 times to be eligible under section 80C of income tax act to avail tax benefits. Impact on policyholders: This is an insurance product and hence there is death benefit in-built in this. Santosh Agarwal, Associate Director and Cluster Head- Life Insurance, Policybazaar.com told Moneycontrol that making this lower will only benefit the policyholder because the amount of investment that you make, most of it would be going towards investment in the market and not towards the mortality charges. Whether it is 7 times or 10 times, it is not enough as the cost of life can never be measured. “It is best that most of the money that you invest should be invested in the market and help in corpus building rather than getting it deducted for the mortality charges,” she said. Read more at www.starhealthdevarajan.com/news/638 for Insurance related Services U can always call us at 9840177017 Devarajan www.starhealthdevarajan.com https://www.facebook.com/mediclaimagent/