28 Jan 09
Insurance makes good the financial loss that one can suffer due to an eventuality. I personally feel that it is better to go in for a life insurance term policy and a mutual fund, rather than investing in a ULIP, simply because this gives the investor some flexibility as well have the real experts handle each issue at which they are best geared up for. As far as India is concerned, though all life insurance companies are good, I lay my bet on The Life Insurance Corporation of India (LIC) because they have been around the longest, their pending claim percentage is the lowest (maybe around 0.5 to 1 percent of the total annual claims that they receive - and process), they don't try and fob off claims with jargon that the common man does not understand and they have the largest product portfolio, their first premium collections are higher than the combined first premium collections of all the other insurance companies in India. Their policies come with a Sovereign guarantee - the Government of India has a five percent stake in LIC and hence investments are safe- they also distribute the highest ratio of share of profits to policy holders as bonuses ....... I could go on and on about the benefits of buying an LIC policy ........