China Insurance, China Life Insurance Policies

China Insurance, China Life Insurance Policies
The China Life Insurance Company Limited is based in China, providing policies specific to life insurance coverage.  This company has a solid reputation and provides a list of different insurance products.  For instance, people can purchase individual life insurance, group life insurance, health insurance, and accident insurance.  However, the China Life Insurance Company also sells short-term health and accident insurance coverage to both individuals, as well as groups.

Today, this company operates in three different sectors of the business world.  For instance, the China Life Insurance Company has the sector for individual life insurance, accident and health insurance, and group life insurance.  Just one year ago, the company was holding more than 100 million insurance policies for individuals and groups, as well as policies for long-term health and annuity contracts.

Interestingly, the China Life Insurance Company currently controls approximately 50% of the country’s life insurance market.  With a great reputation, numerous policy options, and affordable rates, it is easy to see why.  To keep the customers happy and continue to bring in new business, this particular life insurance company employees 640,000 agents.  These agents work throughout China at the 15,000 locations.

In addition to the vast number of agents working for the China Life Insurance Company, the company also has a strong sales force for direct selling.  This group of professionals is responsible for marking the various group policies.  Keep in mind that while the China Life Insurance Company is a powerhouse, it does have competitors.  For instance, Ping An Insurance, China Pacific Insurance, and PICC Property are also vying for customer’s business in insurance.

For instance, Ping An Insurance is the second largest life insurance company in China, which also sells different policy types.  This company has insurance for marine cargo, accident, fire, marine, and home.  Along with providing excellent insurance coverage, this China insurance company also provides services for stock trading, property leasing, asset management, equity investment funds and bonds, and more.

Another competitor of the China Life Insurance Company is the China Pacific Insurance Group.  This company is both an insurance and investment holding company that has over 5,000 branches all over China to serve customers.  In addition to the large number of locations in China, the China Pacific Insurance Group also works out of the United States, Hong Kong, and London.

Finally, PICC Property is another respected company in China selling insurance.  The area of expertise for this China insurance company is property and casualty.  The company has been in existence for more than 60 years and today, it boasts around 10,000 branches.  Although auto insurance accounts for the majority of sales, this insurance company also provides coverage for homeowner’s, accident, commercial property, and liability insurance.

Any of these four insurance companies would be excellent to consider.  Again, you could look at options with the largest company being the China Life Insurance Company or consider what the other companies have to offer.  Of course, along with the four respected companies mentioned, many other insurance companies exist throughout China.

source : http://www.economywatch.com

India Central govt to make property title insurance mandatory

India's urban development ministry has released a draft Bill, inviting feedback on a proposal to make title insurance mandatory for buildings, which currently lack such cover.

The Indian Express newspaper reports that despite the huge threat to housing societies from both natural causes, such as flood, fire and earthquake, and legal ones, such as title issues and penal action from authorities, very few buildings are insured even though such insurance has been compulsory since 2001 under state government byelaws.

"Almost 95% of housing societies are not insured," says Mr Badal Yagnik, Managing Director of Jones Lang LaSalle India. Referring to title insurance, he adds: "Not only will it make ownership of built-up and landed property far more credible and secure, but it will also lead to renewed confidence among subsequent chain of buyers."

In India, title deeds to the land on which buildings are built are often opaque, and the homebuyer owns only the flat, not the land on which it stands. "Title insurance ensures that the current owners are safe from past claims and title faults, and puts the property firmly in their possession, particularly in case of housing societies," explains Mr Yagnik, adding that insurance can also protect against loss arising from related legal proceedings.

Though homebuyers do buy for insurance policies for their individual units - many clubbing it with their home loan - collective insurance of societies is still in the nascent stage in Mumbai. The main deterrent is the high premium, ranging from 0.05% to 0.07%, which amounts to a tidy sum for a realistically valued building. At the same time, insurance firms mostly offer policies against fire and earthquake. Very few insurers market policies that include title risk despite the higher premium rates obtainable on such business.

Chinese motor sector draws global reinsurance giants

The world's two biggest reinsurers, Munich Re and Swiss Re, are tapping growth in China by helping domestic motor insurers write more insurance in the world's largest auto market, reports Bloomberg.

Premium income from China is expected to rise about 70% to EUR1.1 billion (US$1.6 billion) this year on demand for motor insurance, Mr Tobias Farny, CEO for Greater China and Southeast Asia at the world's biggest reinsurer, Munich Re, told the business wire agency in a recent interview. Reinsurance can help reduce the amount of capital that Chinese primary insurers need to support increasing demand for motor cover following a 32% jump in auto sales last year, says Munich Re.

Second ranking Swiss Re reported first-half Chinese premiums of more than US$1 billion compared with US$885 million for the whole of 2010. Its CEO, Mr Stefan Lippe, expects China to overtake the UK as the Zurich-headquartered company's second biggest market within 10 years.

"These are not hugely profitable contracts" because the large Chinese insurers have purchasing power, says Mr Stefan Schuermann, an analyst at Vontobel Holding in Zurich. "Pricing is just average, not more."

Profitability in China won't be a concern for the "near future", says Mr Farny. "What makes the Chinese motor insurance market less difficult than markets in Europe is that insurance rates in China are regulated, making the business profitable for primary insurers and therefore also for reinsurers," he adds. "We are ready to end contracts where our profitability requirements are not being met."

Personal Accident Insurance

Personal Accident insurance or PA insurance is an annual policy which provides compensation in the event of injuries, disability or death caused solely by violent, accidental, external and visible events. It is different from life insurance and medical & health insurance.

You can either take a PA policy for yourself or a group policy for your family, protecting you and them anywhere in the world, anytime of the day. PA insurance provides 24-hour worldwide insurance protection.

The scope of cover and scale of benefits differ between insurance companies and you should therefore ensure that you purchase a policy which meets your requirements. The types of coverage normally provided under a PA policy include:.

• Accidental death
• Permanent disablement
• Temporary total or partial disablement
• Medical expenses
• Corrective surgery
• Hospitalisation benefits
• Funeral expense

Life Insurance

Buying life insurance for you and your loved ones helps provide some financial security in times of hardship. The money from your policy will be paid to your loved ones when you pass away or to you should you suffer a total and permanent disability or loss

Incoming Tax Relief

You can claim for tax relief of up to a maximum amount of RM6,000 per year for an ordinary life policy. This is inclusive of any contributions you have paid to an approved retirement benefit scheme such as the Employees Provident Fund or other pension scheme.

Basic Types of Policies

Term Insurance

This offers insurance protection for a limited period only whereby the money is paid up if you pass away or if you suffer total and permanent disability.

Whole Life Insurance

Life-long protection and premiums are paid throughout your life and the money including any bonuses will be paid when you pass away or suffer total and permanent disability.

Endowment

A combination of protection and savings whereby the money will be paid at the end of a specific period upon your demise or if you suffer total and permanent disability.

Invesment Linked

For investment-linked insurance, your premium is used to buy life insurance protection and units in a fund managed by the life insurance company. The benefits paid to you or your nominee will depend on the price of the units at the time you surrender your policy or when you pass away.

Life Annuity Plan

Series of payments paid to you until you pass away. Types of annuity include immediate annuity or deferred annuity.

Supplementary Rider / Cover

A rider is a supplement attached to the basic insurance plan such as endowment or whole life.

Mortgage reducing term assurance (MRTA)

An insurance protection plan that covers the repayment of an outstanding property loan to the financial institution in the event of untimely death, disability or critical illness of the borrower

Investment Link Insurance

An investment-linked insurance plan is a life insurance that combines investment and protection. Your premiums provide not only a life insurance cover, but part of the premiums will also be invested in specific investment funds of your choice. You get to choose how to allocate your insurance premiums towards protection and investment.

        

Why Should I Buy Investment Linked Insurance

• You want the flexibility to choose your own level of protection and investment.
• You wish to vary the amount of your premium payments or coverage based on your own personal financial situation.
• You have the flexibility to choose the type of funds based on your risk aptitude.
• You want a savings plan to maintain your standard of living after retirement.

When it comes to picking the right plan, always:

• Consider the amount you wish or can invest in the plan, either in single or regular-premium plans.
• Remember to also consider the types of funds and the level of protection you need.
• Evaluate your options carefully to find the right plan with the right fund to suit your needs.

Basic Type Of Plans

Single Premium Plans

• A single premium-plan features a single lump-sum premium payment, so you don’t have to worry about making regular premium payments, and worrying about lapsing.
• Features a life insurance policy with a death or total permanent disability cover of around 125% of your lump-sum investment.
• Benefit payments will be to the sum assured or the value of the investment units at the time of claim, whichever is higher.
• Allows you to immediately invest more to generate returns.

Regular Premium Plan

• The regular-premium plan is a more suitable plan for you if you don’t want to invest a large sum at the start of the plan.
• Gives you the flexibility to increase your premiums and coverage when your finances improve in the future which are paid either monthly, quarterly, semi-annually or annually.
• The basic insurance coverage, in the event of death or total permanent disability, is usually a multiple of the annual premium.
• The benefit payment will be the total of sum assured plus the value of the investment units.

Home Insurance

Home Insurance, or House owner / Householder Insurance as it is also known, is one of the most important insurance policies you can buy in your adult life. Your home is one of the largest financial investment you’ve made, and that’s why it’s so important to protect it. There are three main types of policies which you can buy to protect your home:

Basic Fire Policy

This policy provides you with coverage against loss or damage to insured property (i.e. house, shop and factory) caused by fire, lightning or explosion.

House Owners Policy

This policy provides additional coverage compared to the basic fire policy. It may include loss or damage due to flood, burst pipes, etc.

House Holder Policy

This is a policy which covers your household contents and includes coverage for fatal injury to you as the insured. This policy does not cover damage to the house itself.

Not Willing To Go For Higher Premiums? Go For The Cheap Life Insurance Policies

Today in the insurance market there are so many insurance companies and so many people are opting for it this has lead to a cutthroat competition in the market and because of this affordability is not big deal when you are willing to buy life insurance. In order to attract the potential buyers the companies keep on introducing new and different categories of insurance policies but nothing can beat the option of cheap life insurance policies as it motivates the people to get insured. At times you may find it difficult to get a cheap life insurance policy but this will happen only if you are a layman and have not done the necessary preparations for the policy purchase.

Sort out such factors by doing little bit of research and having genuine information about life insurance rates. Prior idea and complete information about rates of life insurance policies prove helpful to catch up cheap life insurance and buy it too without any delay. Complete knowledge about such policies and keeping yourself updated of special features of such types of insurance policies will further ease your selection criteria. Introspect and think on those aspects that you would like to see in particular insurance policy. It becomes important when you select cheap life insurance policies.

These policies may bring lots of surprises for you and at the same juncture wrong selection can prove nadir too. Countless factors work in making cheap life insurance workable. Usually insurance policies become cheap due to the category selected, duration for which they are bought and personal factors of policy buyer out of which age and health are most important factors. A young man in his 20s or early 30s may definitely get cheap life insurance policies due to high insurability and least death risk. But one in his ripe age can’t think of having similar benefits and may have to pay higher rates for lesser benefits.

The death risk gets increased in the advanced age and so a person in the advanced age becomes a risk factor for the insurance company and so one can’t think of getting cheap life insurance in the old age. Things become much simple for people who are healthy and who don’t suffer from chronic diseases and are not prone to any such ailment in later stages because they can avail a policy at much cheaper rates. Your health condition plays a very important role because the chance of getting a good and a cheap policy is directly proportional to your health condition, the less healthy you are while applying for cheap life insurance policies the less is chance of getting such policies. But there is nothing to feel dishearten about because you can still avail the policy but you need to pay a higher premium for it.

Going for universal or whole life insurance policies is not a good option if you are looking for a cheap life insurance policy, in this case term life insurance policy is preferred. But before taking a decision it is very important to be aware of these two genres of the insurance policies. The best example of cheap life insurance policy is the term policy which gives no provision for cash build up. These policies are exclusively meant for death benefits, and you are not given a single penny apart from it. Next thing that is to be remembered for this category is the fact that if the policy holder outlives the tenure of the policy then he shall receive nothing from the insurance company.

The tenure of the term policy ranges from 1- year to 30-year and remains cheap as compared to other categories. This is the reason for the term policies being a good example of cheap life insurance. This is meant for the people who have budget as constrain, the ones who are not in the position to afford high premiums may opt for cheap life insurance policies. These policies also have the flexibility option so they can be bought for shorter period and can be managed freely. They are excellent options for getting adequate life coverage. Do not be hesitant in buying pure insurance – term policies that you can afford easily in case you are looking for cheap life insurance.

No matter these policies don’t have cash value but they definitely have enough life coverage. You always wish to keep your family financially secure hence when you select term policies and ensure your death benefit the family can be offered great support in case the policyholder die premature and there is not alternate source of income. Perhaps these are the major reasons that cheap life insurance options have been introduced these days.

The fact that the beneficiaries will be rewarded with adequate funds in the case of the sudden demise of the policy is kept in focus in the term policy. Do not be in a hurry to take a decision, decide of buying such cheap life insurance policy only when you have analyzed its benefits. Most of the time the cheap life insurance policies are clubbed with some flexibility options like they can get renewed, cancelled and at times they can also get converted to some other policy. For example if you want then you can convert them to a permanent life insurance policy.

Travel Insurance

Travel insurance coverage is usually limited to the period of your travel. However, some insurance companies may offer various combinations of protection to cater to the specific needs of customers, including long-term annual policies for a frequent traveller.

A travel insurance can be purchased for you and/or your family to insure against travel-related accidents, losses or interruptions, such as:

• Personal accident
• medical-related expenses
• loss of travel or accommodation expenses due to cancellation or curtailment of the journey
• losing your baggage, belongings and money
• losing your passport
• personal liability
• delayed baggage
• travel delays
• hijacking 
• repatriation        

A Retirement Annuity

A retirement annuity is a contract by which an insurance company agrees to provide you with a stream of income during your retirement years. Generally, a retiree may need about 60% of his/her last drawn salary to maintain his/her existing standard of living during retirement.              

The Employees Providence Fund (EPF) contribution can be an important source of retirement income, but a study by EPF also showed that majority of contributors spent all their savings within three years of withdrawal upon retirement. Retirement annuities ensure that you are taken care of for the rest of your life.

Medical And Health Insurance

Medical and Health Insurance (MHI), is an insurance policy which is designed to cover the cost of private medical treatment, which can be very expensive, especially with hospitalisation and surgery. 

MHI also ensures that you won't have to worry about the cost of seeking treatment during emergencies. In addition, MHI also provides you with an income stream while you undergo treatment

Definition of Insurance

A promise of compensation for specific potential future losses in exchange for a periodic payment. Insurance is designed to protect the financial well-being of an individual, company or other entity in the case of unexpected loss. Some forms of insurance are required by law, while others are optional. Agreeing to the terms of an insurance policy creates a contract between the insured and the insurer. In exchange for payments from the insured (called premiums), the insurer agrees to pay the policy holder a sum of money upon the occurrence of a specific event. In most cases, the policy holder pays part of the loss (called the deductible), and the insurer pays the rest. Examples include car insurance, health insurance, disability insurance, life insurance, and business insurance.