Importance of Insurance in COVID-19 Times

Oct 19, 2020 12:21 PM ET

Oct 19, 2020 8:21 AM ET
iCrowd Newswire – Oct 19, 2020

The outbreak of novel coronavirus has surely shaken each one of us and in every part of the world. Amidst this global pandemic, the importance of taking precautions has also been brought into the light successfully.

Across the globe, people have become more aware in regard to health regardless of the age group they belong to. With the growth in awareness, India has been one country that has also understood the importance of insurance. In such a global health crisis, having the right insurance policy is a necessity and not just limited to a benefit.

It is somewhat predicted that the individuals majorly will be likewise inclined to obtain the risk cover. In case you are one of those who are still in the dilemma of whether to buy the insurance policy, take into consideration of the following points:

  • Financial Security for a Long-term: The lockdowns consecutively has witnessed more people digging their savings to meet the everyday amenities. Well, the conventional way of holding a savings account is a common practice in India for any emergency expenses. It is due to this reason that having the right life or term insurance policy has suddenly grabbed so much attention. Age is a key factor specifically when you have plans to buy a term insurance plan. In case you are not are a term plan is one of the most pocket-friendly insurance plans as it offers a low premium rate. Besides, anyone who resides in a slightly risk-prone area should opt for a personal accident cover that would ideally act as the crutch to the dependents.
  • The Shortfall of Liquid Assets: The global pandemic has surely made us witnessed a major loss of job and adding up more to unemployment. This has also resulted in a money crunch that means of budgeting of the non-essential expenses. Besides, there is also an increase in regards to the treatment expenses specifically the medical bills in case of hospitalization like considering the times of novel coronavirus. The job security is another crucial aspect that has also been within the threat and easily affects the stability of the economic condition individually. This also is worrisome for the working class. These are some of the stressful triggers that have been pushing people to look for different insurance plans not only for themselves but also for the dependents.
  • Safety First: The first ten months of 2020 has witnessed so much right from this global pandemic to the wrath of natural calamities in different parts. This year has also taught us to secure our properties against any calamities with the right insurance cover. Undoubtedly, having the right insurance cover will always act as the financial assistance and cushion of financial safety as well.

How to Choose the Best Insurance in the Times of COVID-19?

The market is flooded with a plethora of insurance products. So, it is important to choose the best insurance on the following parameters in times of COVID-19:

  • Sufficient Cover Sum: The insurance companies offer sum assured ranging between Rs 21,000 to Rs 2 lakh. Now when selecting certain insurance you need to analyze whether the sum is adequate to cover any incurred treatment expenses or support the family even when you are not around. The existing liabilities, dependents, income, and so forth are other aspects that should also be considered.
  • The Credibility of the Insurance Company: The prime fundamental when buying the insurance plan is to evaluate the credibility of the insurance company. When selecting a certain provider to ensure that you look for the company solvency and claim settlement ratio as well. These ratios will help you to have an understanding of the reliability and financial position of the company. This is important as in the times of COVID-19; multiple claims are made at once.
  • Simplified Process: When buying any type of insurance policy make sure that you understand the process of both applying and making a claim. Remember, it is to be noted that both processes need to be hassle-free and simple as well. In today’s times, buying the insurance plan should involve the minimal steps that are not complicated.The same goes for the claim process as well it should be instant, hassle-free, and minimum paperwork so that the family of the policyholder need not face much of the stress in the times of distress.
  • Pocket-friendly Premium:In the times of the global health crisis, the income-stream has been impacted. Therefore going with an insurance plan with a heavy premium is not the smart choice. When buying any type of insurance plan strike the balance between the coverage sum and premium sum. The insurance premium amount should not hurt anyone pocket and provide the cover required.
  • Customer Assistance:When selecting the insurance plan, choose the insurance company that has round-the-clock customer assistance as an eventuality does not come with a notice. Besides, also evaluate the reviews online and connect with the executives. In the times of novel coronavirus, the intent is to engage the insurance company that gives exemplary customer service and provides instant redressal of the grievances.

The Bottom Line

The increase in awareness in regards to the importance of insurance has also made the insurance companies in India to introduce plans and products at pocket-friendly insurance premium rates. However, a slight increase in the premium rate is also possible because of the economic growth that has also slow down with the demands escalating.

The decision-making process is within the development, therefore it is indeed an ideal opportunity to secure the future financially by buying the insurance that suits your pocket and fulfills your requirements.