On Yahoo: Understanding Insurance

May 25, 2010

I write at Yahoo - “Understanding Insurance”, an article featuring a conversation that will, hopefully, elevate understanding levels of the unnecessarily complex industry.

"I need some more help," said Sharma. "I'm getting hounded by calls for buying life insurance."

"Before we go there," said Abacus, "do you understand how car and home insurance works? You pay some premium every year, and if something goes wrong you get paid, but either ways the premium's gone. And you're fine with that. You insure your car or house against damage, so that you can replace their services without losing a lot of money."

"Yeah, so what is he getting at?" wondered Sharma

Note: Some of you have asked – where do I get the Life Insurance Claim Statistics on www.irdaindia.org? Go to "IRDA Journal". Click the Year. Then click the "Quarterly supplements to Journal" and select the quarter. LI claim stats are usually on the last page of that PDF. (I don’t know why it is so complex. But this is not just IRDA, all our regulatory sites have a lot of information and work hard to keep that info hidden)

Do read the other articles I've written on Insurance. Some of them: