Sage-Tips

What happens if you have multiple insurance policies?

If you have multiple health insurance policies, you’ll have to pay any applicable premiums and deductibles for both plans. Your secondary insurance won’t pay toward your primary’s deductible. You may also owe other cost sharing or out-of-pocket costs, such as copayments or coinsurance.

Can you claim from two insurance policies?

No, you cannot raise the same claim with two different insurers. You need to claim with the first insurance company and if your medical expenses are more than the sum assured, then you can opt for reimbursement for the balance amount from the second insurance company.

Can a company have multiple insurance policies?

Yes, you can generally have two income protection policies. However, income protection insurance has built-in offset clauses. Meaning, the combined maximum benefit you can receive from all your policies is generally limited to 75\% of your income because you cannot be better off disabled.

How many insurance policies can one person have?

Fortunately, there are no legal limits as to how many life insurance policies you can own. However, while many life insurance companies generally have very little concern over the number of policies you own, they may look more closely at the total amount of your benefits.

Can I have multiple term plans?

Most insurance companies allow an insurance cover which is 10 times the annual income of the individual. If the individual’s total income is eligible for higher coverage, the subscriber can opt for multiple term insurances. The policyholder, however, has to provide proof of annual income to avail multiple policies.

What is secondary insurance coverage?

Secondary health insurance is coverage you can buy separately from a medical plan. It helps cover you for care and services that your primary medical plan may not. This secondary insurance could be a vision plan, dental plan, or an accidental injury plan, to name a few. Some secondary insurance plans may pay you cash.

Can you claim on multiple TPD policies?

Yes, you can lodge multiple TPD claims so long as each of your funds remain separate from one another. You may hold multiple superannuation accounts and insurance policies at once, but funds must be held independently from one another. Claims can be made on any/all of them simultaneously.

Can I take multiple term plans?

You can take more than one plan but you need to know the terms and conditions of the plan very clearly. People prefer to opt for a term insurance plan because it offers economical rates of premium. You can avail of various benefits by holding multiple term insurance policies.

Is there a limit to how many life insurance policies you can have?

Can I have multiple term insurance policies from different companies?

There is no restriction in purchasing multiple policies from various insurance companies. When you purchase insurance policies from different companies, you should share the information about past term insurance plans while applying for a policy with a new insurance company.

Should I buy term insurance if I live outside India?

However, there is no need to complicate it and in-case you are out in some country and plan to be there for next couple of years, the best thing would be to take term insurance from your country of residence and later when you come back to India, you can buy term insurance that time.

Does the premium of a term insurance policy remain the same?

Unless and otherwise it’s mentioned in the policy document. Premium of a term insurance remains the same throughout the term of the policy provided everything remains the same with the policyholder. That is, the policyholder has not developed any illness or any smoking/drinking habit.

Does term insurance cover death outside India?

Yes, term plans cover death outside India provided the policyholder has updated this fact with the insurance company. He needs to mention that he now lives outside India. Just like change of phone number, address or nominee, there is a facility in the policy service form where the policyholder has to mention that he is going abroad.