Feb 11
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There are several life insurance companies that have fine tuned policies for the nonresident Indian to provide them maximum security and healthy returns. These plans for NRIs could be retirement saving plans, child education pla, health insurances, etc.
While checking out plans, you can also work with online agents who work with several life insurance companies and can help you select a plan that is tailor made for you. There is round the clock customer support and hands-on help for NRIs wanting to insure in India.
Plans for children
One of the most popular plans these days is the unit linked insurance plan that invests your money in the stock market and also in the form of debt instruments. As an NRI, you can get a great opportunity to watch your money grow in India with the unit linked plan.
If your children are studying in India, your best bet would be to choose from several child plans like the ULIP and retirement unit linked insurance plans. The plans for your children could have money back guarantee, unit linked or endowment plans.
You can easily get good returns in 10 to 15 years for the unit linked child plans. Your retirement needs to be comfortable financially taking into account the inflation that could push living expenses much more from the present levels. With life insurance policies, you can get loads of tax benefits as premiums paid on policies are entitled to tax rebates.
For an NRE account holder, the claims are settled in proportion to the premium received by the insurers in foreign currency and if you pay in Indian rupees, the claims get credited to the NRO account of the NRI.
There are several types of life insurance policies out there catering to a wide array of choices as the product range is myriad. You can get single premium whole of life plan, unit linked pension plans, personal and savings assurance plan.
There are other comprehensive plans offered like whole life, money back and they are available to NRI’s also but they are for a maximum of Rs 25 lakhs. Banks have tie ups with foreign insurance majors to provide special plans that protect the investment of the NRI while assuring a good return.
Rupee and non rupee options
Some banks also offer special plans for NRI’s living in the Middle East and they are available in rupee and non rupee options. For non rupee plans, there are policies for education of children, wealth building and also for critical illness protection as well.
There are whole life plans that are rupee insurance plans combining great returns with very high security and your investment is ploughed in equities and government securities to provide the right mix. You not only end up benefiting from insurance, but a healthy return in the long term as well.
The usual proposal for buying an insurance policy requires filling out a form and a hazard report, medical examinations as well as payment of the first premium.
As an NRI, you can complete the formalities during your holiday in India or send in by mail order from your country of residence by downloading the form from the website of insurance companies. Your details have to be verified by the Indian embassy out there and the copy of the first page of your passport would have to be certified by them as well.
There are many agencies that can help to pin down the right policy for you depending on your actual needs. After filling out the online form, the experts in the agencies will guide you and show you the various options that are available for NRI’s.
Life insurance will guarantee a good investment for the future and it also guarantees a good lifestyle in the event of an unfortunate death of a loved one.
