1. Please explain what happens to the cash value after the policy is fully paid up?
After the policy is fully paid up, the company plans to use the cash value to pay your premium until you die. If you take the cash value out, the insurer will require you to pay the premium or reduce the amount of the death benefit so the remaining cash value will support.
2. Please explain what is ‘gap insurance'?
‘GAP insurance' is also known as Guaranteed Auto Protection. It covers the difference between the actual cash value of the vehicle and the balance still owed on financing like loan. GAP insurance amount is generally paid up front.
3. Do you know what Are The Different Types Of Insurance?
All too often we hear about various types of insurance policies without really understanding what they are and more importantly, what they protect. The truth is, there are two main types of insurance, namely life insurance and general insurance which covers different aspects in your life.
4. Please explain what does it mean when company says “no physical exam”?
Such insurance company that says,“No physical exam” gives freedom to thepolicy holder to take policy and exempt the physical test that is mandatory by certain life insurance company. Normally, such insurance company is more expensive,and the insurer has to payahigher premium on their policy.
5. Explain is it safe to pay the premium through Insurance Agent?
It is safe to pay the premium through your agent as far as you are making the payment through cheques on the name of Insurance Company and receiving all the receipts for the payments.
6. Explain what Is Term Plan In Life Insurance?
This offers insurance protection for a limited period only whereby the money is paid up if you pass away or if you suffer total and permanent disability.
7. Tell us what Is A Whole Life Plan In Life Insurance?
Life-long protection and premiums are paid throughout your life and the money including any bonuses will be paid when you pass away or suffer total and permanent disability.
8. Tell us how to claim the policy?
In order to claim the policy, you have to fill up the claim form and contact your financial advisor from whom you have bought the policy. You have to supplement all the required documents like original payment receipt to your insurance company. If everything is ok,you will be paid within 7 days of the policy claimed.
9. Do you know what is subrogation?
‘Subrogation' is referred as the process of seeking reimbursement from the responsible party for a claim that they had already paid. For example, you have an accident where your car gets damaged,and you have car insurance, the insurance company will pay you the money. But the insurance company comes to know that the accident occur due to other party fault, now they will claim themoney from the other party this is known as ‘subrogation'.
10. Explain me what Is An Endowment Plan In Life Insurance?
A combination of protection and savings whereby the money will be paid at the end of a specific period upon your demise or if you suffer total and permanent disability.
