What ought to I contemplate for buying an electrical two-wheeler insurance coverage coverage?
—Title withheld on request
Each the method and ticking the packing containers for e-two-wheeler insurance coverage are the identical as shopping for petrol two-wheelers. In case you purchase a automobile for the primary time, you want to make sure the third-party legal responsibility insurance coverage is bought for a interval of 5 years. In addition to, it is best to contemplate shopping for the next add-ons: zero depreciation cowl, and return to bill cowl. Some insurers supply protection for battery safety, which covers claims for water ingress to battery. It is best to go for this add-on, if provided. Some insurers are extra aggressive in providing insurance coverage for electrical automobiles. So, you have to make an intensive comparability earlier than shortlisting an insurer.
I’ve a medical health insurance coverage from HDFC Ergo. I used to be recognized with osteonecrosis of the precise hip final yr for which I had a core decompression surgical procedure. I need to know if this data should be disclosed at time of renewal. If sure, then how ought to I do it and what adjustments it could have in my renewal premium?
—Kumar Saurabh
Within the given case, since you might be already insured, no additional disclosures are required to the insurer. In case you had filed a declare then the insurer could have the medical particulars, however even if you happen to didn’t file a declare, you aren’t required to tell the insurer.
Observe, any change in medical situation of the policyholder doesn’t affect renewal premiums. By regulation, insurers can not apply a claim-based loading on renewal premium for a person policyholder. If premiums are modified then they need to be modified for all individuals in an age group and can’t isolate you alone. Premium for a similar age might differ however solely whether it is proposed and accepted by a policyholder earlier than issuing an insurance coverage. After the preliminary coverage issuance, insurer is just not allowed to use further loading and should cost a uniform fee for a bunch. Nevertheless, if you happen to miss a renewal, the insurer can change the phrases of the coverage , together with premiums, for you. So, in your case, well timed renewal is important.
What’s ‘premium smoothing’ in insurance coverage parlance, and the way does it assist?
—Title withheld on request
Premium calculation for any danger considers a number of elements like previous losses, out of the pocket bills, and so forth. Insurers need regular premium with few adjustments, and amortize the associated fee affect of all elements over a few years. It helps keep away from a steep rise in premiums for policyholders, making it inexpensive. The price affect is handed to policyholders in a gradual approach.
Abhishek Bondia is principal officer and managing director, SecureNow.in.
Up to date: 08 Jun 2023, 10:38 PM IST