If you have recently purchased a term plan, you have certainly made a sound future decision for your family members. However, there is a lot more to be done after you buy the policy. And it’s not just about paying the premium on time! So, if you have bought your term plan already, here are a couple of things you need to do right now. Read on to know more!
Consider the exclusions and inclusions
Every term policy has certain exclusions and inclusions that you need to know about beforehand. For instance, your policy might exclude death under the influence of certain specific substances or death due to pre-existing diseases. You need to know about such exclusions beforehand to avoid any chances of claim denial in your future. Pay close attention to the fine print to make sure you do not miss out on anything.
Keep the policy documents safe
Your policy documents need to be kept safely in a place where they can be easily located when needed. As a matter of fact, you should make a separate folder for the insurance policy and keep all your insurance documents in that. Make another folder for your investment documents, and so on. Keeping things organized will help in finding the policy documents as required.
Let the family members know about the policy
The chief reason why you are getting the policy is to offer financial protection to your family members. Thus, you should let your family members know about the policy and its details. Tell them about the premium you would be paying and the corpus you are going to accumulate. Most importantly, show them where you have kept the policy documents. They should not be left searching for documents when they need it the most.
Set a reminder for premium payments
The last thing you would want is for your policy to lapse because you did not pay the premium on time. Of course, you can recover the policy after that, but the hassle is just too much to handle. A much simpler way would be to just set the reminder on your phone for the premium payments. Also, you can make it easier on yourself by opting for the auto debit option. It will ensure that the amount is automatically deducted from your account every month.
Understand and explain the claim filing process
As mentioned before, your family members should be well-aware about every detail about the policy. So, it is your duty to start by understanding the process of filing a claim. Then, you can explain the same to your family. How should they notify the insurance company? What about filling up the claim form? What documents would they need for the process?
The final note
So, did you start working on all the steps mentioned above? If not, begin working on them right now. Get your family together and inform them about the policy. They will appreciate your preparations in their time of need.
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