FAQ’s

Individual health insurance plan, Family floater health insurance plan, Group health insurance cover, Critical health insurance, Top-up policy.

For any treatment, if the insured is hospitalized for a minimum of 24hours is called as day care. Technological advancement has reduced the extended period of hospitalization due to a medical emergency. Hence any treatment which is given to the patient during 24 hours hospitalization is called as day-care health insurance.

Co-Payment is a certain percentage of the claim that the insured agrees to pay along with the insurance company. The insurer then pays the remaining claim amount.

It is a subjective question that can’t be answered. Medical insurance purchased in India has its geographical boundaries. Some medical insurance companies do not compensate for anything that is happening beyond the set geographical limits. Whereas, some insurance companies offer international covers too.

On average daily cash, the benefit is given to the hospitalised person during his hospitalisation. In most of the cases, a lump sum amount that the insured person gets during hospitalisation is called a daily cash benefit. The benefit and amount vary from company to company. It starts from 1000 and goes upto 10,000 in a day

Depending on the seriousness of health ailment, pre-existing diseases are covered in a health insurance plan with a waiting period*. The waiting period in a health insurance plan, varies from company to company and depends on the age of the policy buyer. Some PEDs or Pre-existing disease comes with certain restrictions with some insurers.

Life Insurance is a contract between a person and a life insurance company to reimburse his/her beneficiary (usually a spouse or child) at the time of his/her demise. The reimbursement amount is pre-decided based on the terms of the policy.

The amount that you receive on maturity depends on the amount of premium you pay. The maturity benefit you need depends on your standard of living, income, spending habits, etc. You should aim to receive a maturity amount equal to 8 to 10 times your annual salary.

You usually get a grace period, up to 30 days, to pay your premium once it falls overdue. If you still don’t pay your premium after the grace period your policy stands defunct and you cannot claim any benefits from your policy. However, you can revive your policy once you pay all your overdue premiums and you will again start receiving the benefits of the policy.

In the case of a Unit Linked Insurance Plan you are not entitled to receive any tax benefits if you stop paying premiums earlier than 5 years from the commencement of your policy.

You can claim tax benefits for a Pension Plan under Section 80CCC if you have paid premiums. You will receive a pension from a fund referred to in Section 10(23AAB). You will be able to get a deduction of up to Rs. 100,000 on your total annual income.

No, you will have to pay no tax on the maturity proceeds of a life insurance policy. In fact, under a pension plan you can even withdraw up to one-third of the total maturity amount in cash and that too will be tax-free. All this is provided that you have paid all your premiums and you have not let your policy lapse.

Credit card is a convenient alternative to cash or check-based transactions issued by banks and financial institutions, enabling the holder to make a purchase (or draw advance cash) on credit. The due amount at the end of the billing cycle may be paid as a lump sum within the due date in smaller instalments before the final due date. The purchases that are made using a credit card are in fact short term unsecured microloans and if paid off within a specified time (interest-free period) do not have any interest payouts

Though the eligibility criteria for credit cards vary from one issuer to another, the following are a few generic criteria:

• No less than 18 years old at the time
• Either salaried or self employed (Salary proof/ acknowledge ITR required)
• Have at least one savings account in an Indian Bank
• Have a valid Indian address
• Qualify the minimum income requirement set by the card issuer etc

A supplementary/add-on card refers to one or more credit cards that may be issued to family members of the primary cardholder. Add on cards share the total credit limit of the primary card account and have the same features as the primary card. Any reward points earned through the add-on card(s) are credited to the primary card account.

In case you have lost your card or it has been stolen, the priority is to block the card and prevent unauthorised transactions.  Please call the card issuer’s customer care number and inform them of the card loss/theft so that the card is blocked and the replacement card issue procedure is started.

Whenever you make a purchase using your credit card, you can earn reward points. The rate of reward point accumulation varies from one expense category to another as well as from one bank to another. The accumulated reward points can be exchanged in lieu of a range of freebies and discount vouchers.

If your credit card purchases/cash advances exceeds your assigned credit limit (inclusive of retail purchases, cash advances, fess, and other charges), an over limit fee plus applicable taxes will be charged to your credit card account.

TransUnion CIBIL Limited is India’s first Credit Information Company, also commonly referred as a Credit Bureau. We collect and maintain records of individuals’ and commercial entities’ payments pertaining to loans and credit cards. These records are submitted to us by banks and other lenders on a monthly basis; using this information a CIBIL Score and Report for individuals is developed, which enables lenders to evaluate and approve loan applications.

CIBIL Score is a 3 digit numeric summary of your credit history, derived by using details found in the ‘Accounts’ and ‘Enquiries’ sections on your CIBIL Report and ranges from 300 to 900. The closer your score is to 900, the higher are the chances of your loan application getting approved.

You can improve your CIBIL Score by maintaining a good credit history, which is essential for loan approvals by lenders.

CIBIL cannot delete or change records reflecting on your CIR on its own; we simply collect records of individuals provided to us by our members (Banks and financial institutions). There are no ‘good’ and ‘bad’ credit or defaulters lists either.

A Score of “NA” or “NH” is not a bad thing at all. These mean one of the below:

• You do not have a credit history or you do not have enough of a credit history to be scored, i.e. you are new to the credit system
• You do not have any credit activity in the last couple of years
• You have all add-on credit cards and have no credit exposure

The CIBIL Score plays a critical role in the loan application process. After an applicant fills out the application form and hands it over to the lender, the lender first checks the CIBIL Score and Report of the applicant. If the CIBIL Score is low, the lender may not even consider the application further and reject it at that point. If the CIBIL Score is high, the lender will look into the application and consider other details to determine if the applicant is credit-worthy. The CIBIL Score works as a first impression for the lender, the higher the score, the better are your chances of the loan being reviewed and approved. The decision to lend is solely dependent on the lender and CIBIL does not in any manner decide if the loan/credit card should be sanctioned or not.