Importance of buying Endowment Policies online
Joseph is a real estate broker aged 30 years and wanted to buy an insurance policy considering the uncertainty in his line of business. After the covid19 pandemic, he felt the necessity to buy one immediately, looking at the effects of the virus on people. However, with the lockdown in force, he cannot visit any insurance offices or meet any agents. He, therefore, relied on the internet to research all about insurance policies, visited many forums, and participated in discussion forums to finally choose an endowment plan from a leading insurer. On revealing this to his friend, he came to know that few had also purchased the same policy from an insurance agent, but for a higher premium. Joseph was happy to have got the policy at a much lesser premium on the internet and started suggesting his friends also do the same for bigger savings.
What is an Endowment Plan?
Endowment policies are similar to term insurance plans but with a major difference in handling the paid premiums. In endowment plans, the death benefit or sum assured is paid to the nominee on the policyholder’s death. If the policyholder survives the policy term, the sum assured is paid to the policyholder at the time of maturity with a bonus. Thus, such policies are hugely beneficial for those who wish to get returns on survival, which they prefer to re-invest in other investment plans or use for daily expenses in the future.
If you are interested in buying endowment insurance, buying it online has a lot of worth compared to buying offline. Continue reading below to find out more about its importance and benefits.
6 Top Benefits of buying Endowment Policies Online in India 2021
1. Affordable Premiums
The biggest benefit that one can get by deciding to buy endowment policies online is its lower premium rate. With no middlemen or agents involved in the transaction, no commissions are to be paid by the insurer, resulting in a huge reduction of premium, when buying online. Also, the insurance companies offer huge discounts for customers when they choose to pay the premiums online, which is a huge benefit.
Unlike an offline medium, there is a hundred percent transparency with buying endowment policies online as every step is documented properly. Not only this, you can be assured of getting the details of your insurance policy clearly and concisely immediately on purchase. The terms and conditions, policy-related documents, inclusions and exclusions, illustrations, customer care contacts, etc., are available in one place for the benefit of policyholders.
3. Customization Options
Every individual is different, and everyone has a different taste. Even in an endowment policy, you may prefer to choose the sum assured, premium payment frequency, benefit payout method, riders, etc., as per your requirement. This can be achieved by buying these policies online, where you may sit at home, choose whatever feature you want to be incorporated in the policy, and finally buy the desired one just with a click of a mouse. The best part is, you need not wait for the approval of any office or manager to confirm the customizations as they are approved immediately.
4. Easy to Track
By choosing to buy an endowment savings plan online, you are not only saving on the premiums, but you are making it easy to keep a record of all the transactions made. On the insurance provider’s website, policyholders are provided with on-demand access to the policy document, premium dates, policy status, income tax statements, premium receipts, etc. Although in a normal scenario, you may be forced to wait for a week to receive any correspondence from the insurance company by buying online, your account can be accessed from anywhere and at any time to get your requests fulfilled. Not only this, the facility to make premium payments and file claim settlements is also made available on the internet, making it extremely convenient for policyholders to get their things done – from the comfort of their homes. This is useful for the insurance firms too as it helps them avoid unnecessary queues in their offices, improving their employees’ productivity, which in turn boosts the company’s performance altogether.
Before buying, it is natural for anyone to look at various aspects of the plan before choosing the one you want to protect your family’s financial future. You might want to know about the advantages and disadvantages of an endowment policy, its usefulness, and real-life benefits. There is no better place than the internet to research a product before making the actual purchase. You may also compare the sum assured, premiums, payout options, returns, riders, claim settlement ratio, pricing, customer care service, etc., in a single-window without the need to visit multiple offices, which is usually the case offline mode.
6. Online Reviews
Are you a person who prefers to look at online reviews before buying any product? Then by choosing to buy your next endowment policy online, you can check the reviews from previous policyholders who post the positive and negative points about the policy, helping you to make a better decision of whether to buy that policy or not. In addition, the customer reviews are from real people, and hence you can be sure of its authenticity, which is lacking in the offline mode as you may not be able to verify the feedback.
There is a general misconception that online purchase of financial products is difficult and requires a lot of technical knowledge. But it is not true. To bring many individuals under the insurance fold, insurance companies have simplified the entire buying journey for a customer to use their website or app to buy their desired policies. You don’t need to be a technical person to buy a term insurance policy online. Since endowment policies not only secure your family’s financial future but also offer a return of premiums, it makes sense for you to choose the right plan yourself from the comforts of your home through the internet.