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Chapter 13 Insurance and financial management, paying for the life of yourself and your family (1)
How much do you know about policyholder privileges

Insurance means that the policyholder pays the insurance premium to the insurer according to the contract, and the insurer is responsible for indemnifying the insurance money for the property losses caused by the possible accidents agreed in the contract, or when the insured dies, becomes disabled and It is a commercial insurance behavior that bears the responsibility of paying insurance money when the age and time limit agreed in the contract are reached.

Nowadays, with the enhancement of people's awareness of insurance, many office workers have paid attention to purchasing insurance.However, for some office workers, although they have purchased insurance, they do not have much understanding of what privileges they have, and what "benefits" these privileges have for their insurance protection rights and interests?Now introduce the eight privileges of the insured's own interests as follows for reference.

[-]. The privilege of "repenting"
For life insurance policies, there is generally a "hesitation period" or a "cooling-off period".This privilege for policyholders allows policyholders to consider whether the insurance they have purchased is really beneficial to their own protection and whether the insurance is really useful to them within 10 days of receiving the insurance policy. Even the choice of the payment method and the length of the insurance period are also suitable for you.After consulting the staff of the insurance company about their own doubts, once the final result is that it is really not suitable for their own purchase, the policyholder has the right to "repent" and can directly go to the insurance company to surrender the policy.During this period, the premium paid by the policyholder can be fully refunded.

[-]. The privilege of rescinding the contract
Many policyholders have held the policy for several years, but due to some reasons, the policyholder can no longer use the policy as protection. What should I do?After this situation occurs, the policyholder will enjoy the surrender privilege of the insurance company, allowing the policyholder to surrender the policy, that is, the policy ends.But it is worth reminding that, as long as the policyholder is not in the "hesitation period", no matter how the policy is surrendered, the loss that the policyholder has to bear after surrendering the policy will generally be very large.In view of this, the policyholder needs to think more before surrendering the policy. Once the policy is surrendered, the policyholder will not be able to avoid unnecessary losses.In fact, the policyholder can also use some other privileges at this time, which can also solve the problem, so as to effectively avoid the large financial loss caused by the surrender of the policy that the policyholder should not pay. Please refer to Privilege [-].Of course, if the policyholder is dissatisfied with the past operating performance of the insurance company's investment products, the policyholder may wish to use privilege five to resolve it.If the policyholder wants to use money for emergency, then the policyholder may wish to use the means of borrowing privilege six to solve the problem instead of blindly surrendering the policy.If the insured does not want to pay more for the premium payment, the insured can also use the three privileges of not paying or delaying the premium payment to solve the problem.

[-]. The privilege of non-payment or postponement of premium payment
For any policyholder, regardless of the circumstances, there may be times when they no longer want to continue paying premiums.At this time, if the policyholder is really like this, but he still wants to continue to maintain his policy, what should he do?This can be done very easily for policyholders, because the insurance company has given any policyholder the privilege of reducing the amount of payment.Even if the policyholder no longer pays the insurance premium, it can use the method of reducing the future insured amount to maintain its own insurance policy from being invalidated.At the same time, if the policyholder forgets to pay the latest insurance premium due to carelessness, he can also enjoy another kind of privilege - "grace period".Generally speaking, this grace period privilege is 60 days. During this period, if the policyholder can timely pay the premium, any rights under his policy will not be affected.

[-]. The privilege of "rebuilding the old"
Due to their busy work, many policyholders will accidentally forget after purchasing an insurance policy. However, when they take out this insurance policy one day, because they have not paid the premium again, the policy has been covered by the insurance company. "Suspension" means that the policy has not been suspended for a very long time, only one or two years.At this time, many people will regret the "suspension" of this insurance, and want it to continue to be extended and continue to play its role.In fact, these problems are easy to solve, because the policyholder has the privilege of reinstatement. As long as the policyholder makes up all the premiums and related interest parts that should be paid during this period, the validity of the policy will continue.But what the author needs to express to the policyholder here is that there are relatively some insurance products, such as medical insurance, in order to eliminate the moral risks of a small number of people, insurance companies will often revoke the application policyholders take some relatively simple underwriting procedures.

[-]. The privilege of partly adding insurance, reducing insurance or transferring insurance

After changes in the family status or economic income of the policyholders, these policyholders will often consider making appropriate adjustments to their insurance policies.For this kind of adjustment, the policyholder can do it completely, because the insurance company has given the policyholder the privilege of partially adding or reducing insurance.That is, when the policyholder has a need, under the same conditions, he can purchase an additional amount of insurance in an appropriate amount.Of course, if the policyholder thinks that the insured amount is too high, he can moderately reduce part of the insured amount, but at this time the insured’s policy is still in effect.At the same time, when the insurance policy of the policyholder is likely to expire soon, if the policyholder feels that he still wants to have a policy with a longer term and more protection, he still has the privilege of switching insurance. After the current policy expires, it will be transferred to another relatively similar insurance product, and your own insurance interests will not be infringed in any way.

[-]. Borrowing privileges

Suppose the policyholder buys insurance with most of his family’s savings, and the policy he owns is a large-amount policy, or he buys long-term insurance, and he has paid premiums for this policy for many years. , but the policyholder needs money for emergencies temporarily, and he can’t think of any other way. At this time, the policyholder can exercise his privilege of policy borrowing, and make a loan from the insurance company by pledging the policy.In this way, not only will the insurance policy of the policyholder remain valid, but the cost to the policyholder will not be much.Compared with policyholders, policy loans are a very good measure to solve practical difficulties and obtain funds for emergency under some special circumstances.

[-]. The privilege of requesting compensation
For most policyholders, they do not buy insurance to make it effective immediately, but there are many insurance products, especially life insurance products with a longer term, which ultimately have to be paid to the policyholder.And if there is an accident in the insurance rights under the insurance policy of the policyholder, the urgent thought of most policyholders is for the insurance company to settle the claim for themselves as soon as possible.In fact, for the insurance company, the policyholder has the privilege of allowing the insurance company to quickly pay the claim in full.For this point, the policyholder must keep in mind that once an insurance accident occurs to him, he can use it flexibly.

[-]. Changing the privileges of beneficiaries

For any policyholder, he has many privileges to change, but the privilege to change the beneficiary is particularly important among these changed privileges.Due to the passage of time, many policyholders may have some fundamental changes in the internal structure of the family. At this time, the originally selected beneficiary no longer needs to benefit, and the policyholder wants to replace the beneficiary. For this One point, the policyholder can do it, because the insurance company has given the policyholder the privilege to change the beneficiary. As long as the relevant procedures are compliant and legal, the insurance company will promptly make effective changes to the beneficiary according to the policyholder's wishes, so that , it will allow the policyholder's "guarantee" to play a greater role, so as to truly achieve the purpose of benefiting from insurance.

The policyholder’s privileges are related to the insured’s own vital interests. An in-depth understanding of the relevant insurance privileges before applying for insurance and a thorough understanding of the terms will help you to apply for the insurance correctly, enjoy cash payments, bonuses or other remuneration, and let the insurance truly serve you.

Grasp the five principles and learn to buy insurance

Buying insurance cannot rely on subjective willingness or disregarding the actual situation. You need to refer to the following principles.

[-]. Live within your means

In 27 years, because the business was booming, Ms. Zhou bought a 10-year insurance policy from a local insurance company. The annual premium was 66 yuan, and the total payment for two years was 132 yuan.But in 29 years, due to family problems, her own business began to decline. Ms. Zhou felt a little powerless with the annual premium of 66 yuan, so she asked the insurance company to withdraw the insurance, which can only be refunded according to the relevant regulations of the insurance company. I paid more than 10 yuan.Suffering such a big loss, Ms. Zhou regretted it: "If I had been more rational and lived within my means when I was insured, I might not be where I am today."

It is understood that nowadays, as people's recognition of insurance increases, there are more and more policyholders like Ms. Zhou who cannot renew their insurance on schedule due to changes in their ability to pay.In this regard, relevant financial experts reminded that due to the current variety of insurance products, people who want to buy insurance must master the principle of "living within their means" to avoid losses.

When applying for insurance, it should vary from person to person.Some young people in their 20s have bought several insurances for themselves when they just entered the society. Once their jobs become unstable, it will be difficult to continue to pay high insurance premiums. If they surrender the insurance at that time, they will cause losses. Surrender is really difficult to maintain, in an embarrassing dilemma.The elderly generally have relatively stable jobs, and their economic income tends to be balanced, which can be maintained at a certain level. However, due to physical or other reasons, their daily expenses may increase sharply. May not be able to pay insurance premiums, which has many examples in reality.As a rational consumer, one should purchase life insurance appropriately according to one's age, occupation, income and other actual conditions, so as to make the economy affordable for a long time and obtain due protection.

The insured should rationally choose the type of insurance, and three factors should be considered in the process of applying for insurance: one is adaptability.Buying insurance for yourself or your family should be considered according to the scope of protection you need.The second is economic affordability.Buying insurance is a long-term investment, and you need to pay a certain premium every year. The annual premium expenditure must depend on your own earning capacity, and generally should not exceed 10% to 20% of your annual income.The third is selectivity.It is impossible for individuals or family members to insure all types of insurance offered by insurance companies. They can only choose some types of insurance according to the family's economic capacity and adaptability.

[-]. Strong adaptability
Before buying insurance, you should pay attention to researching the insurance clauses, because no insurance covers everything. The clauses clearly stipulate which ones belong to the scope of insurance liability, which ones do not belong to the scope of insurance liability, and which ones are exempted from liability. What kind of protection can this kind of insurance provide you, and then select the insurance type according to the insurance liability provided by various insurance clauses to meet your insurance needs.To study insurance clauses, it is necessary not only to understand insurance liability and out-of-risk liability, but also to understand insurance premium burden and insurance amount.How much is the insurance premium, how much is the insurance amount, how much is the coverage, what rights and obligations can you enjoy, such as whether you can get some kind of relief through the insurance company in case of trouble overseas, what procedures should be performed, etc.In short, it is necessary to carefully read the insurance clauses, and then choose the insurance type that suits your needs on the basis of clarifying various rights and obligations.

[-]. Purchases should be in a reasonable order
In general, life insurance can be divided into the following five types: protection type, medical type, pension type, education type and investment type, and the order of purchasing insurance should be accident protection first, then medical subsidies, and then consider Supplementary pension.If you have children studying, you should also consider the children's education fund at the same time. If you have spare funds, you can purchase some investment insurance products that suit you according to your investment preferences.

[-]. Reasonable matching of insurance types

Insured life insurance can make a combination of insurance items, such as purchasing one or two main insurances with additional accidental injury and major disease insurance, so as to obtain more comprehensive protection.However, when fully considering all the items that need to be insured, it is necessary to make comprehensive arrangements to avoid repeated insurance, so that the funds used for insurance can be used most effectively.In terms of the proportion of purchased insurance types, scientific arrangements must also be made.According to expert statistics, the funds that Chinese people use to invest in insurance generally account for between 10% and 15% of their annual income.If you have social insurance, it is recommended to use about 10% of your annual income to invest in insurance, and you should make pension and investment plans on the basis of accident insurance and medical insurance.

[-]. Use the deductible
Deductible, as the name implies, is the amount of deductible, which refers to a certain proportion and amount of losses agreed by the insurer and the insured in advance, and the insured shall bear the loss by itself. If the loss is within the specified amount, the insurer is not responsible for compensation.

If some losses can be borne by consumers, there is no need to purchase insurance, which can be resolved by self-retention.When this possible loss is beyond your ability to bear, you can keep the part you can bear in the form of deductible.The deductible requires the insured to bear part of the loss before the insurer makes compensation, and its purpose is to reduce the cost of the insurer, thus making it possible to lower the premium.For the insured, it is more economical for the insured to bear some small and frequent losses without buying insurance. The stronger the self-retaining ability, the higher the deductible can be, because the main purpose of buying insurance is to In order to prevent those major losses that they cannot bear.If the deductible is too low, it is true that various small losses can be compensated, but in the event of a major loss, you will not get enough compensation, which is not worth the candle.

Grasp certain insurance principles, not only to be serious and responsible for one's own rights and interests, but also to reduce the risks faced by one's own insurance funds, so that one can truly benefit from investing in insurance.

How to buy your most satisfactory insurance

According to the survey, a large number of office workers tend to be careless when investing in insurance. They really buy insurance, but the insurance they buy cannot play the best role.In fact, buying insurance also has the knack of buying insurance.

[-]. Don’t buy insurance hastily and protect yourself
The purpose of buying insurance is to be compensated by the insurance company in the event of an accident in the future.However, if you buy insurance by yourself regardless of the occasion, and you are not sure about the identity of the insurer, and you buy it hastily, the policyholder may be deceived and buy fake insurance.Now there are generally three channels for purchasing insurance: the first is to purchase from an insurance company; the second is to purchase from a bank that acts as an insurance agent; the third is to purchase from a door-to-door insurance salesman. The first two channels for purchasing insurance Policyholders generally have no risk and no fraudulent behavior, but it is necessary to prevent fraud when purchasing through the third channel.Now in the society, some unscrupulous people use the name of insurance to defraud customers of money. Therefore, when purchasing insurance from an insurance salesman who sells insurance at home, it is necessary to identify its identity as true or false.So, how to identify fake insurance salesmen and protect yourself?In fact, it is not difficult to find out their true and legal identity. According to relevant regulations, insurance salesmen of insurance companies must hold a certificate to work, and must have the "Insurance Agent Qualification Certificate" and the work permit issued by the insurance company, so in order to verify their identity , let’s see if he has these certificates, if not, then don’t talk about it.If the documents are complete and you still don’t believe it, the policyholder can also make a consultation call to the insurance company to which the insurance salesman belongs to verify.Through multiple confirmations, you will not suffer from being deceived, and you can rest assured to buy and sign the bill.

[-]. Understand the basic situation of the insurance company and be confident

For policyholders, buying insurance can be said to be a long-term investment. For example, some insurances can only benefit policyholders in more than ten years, or even decades.Therefore, when choosing an insurance company to purchase insurance at the beginning, its strength, reputation, terms, after-sales service, etc. are very important. Some of the insurance that I purchased from the insurance company took a very long time from the day of purchase to the day when I was able to benefit.Therefore, everything about the insurance company should not be underestimated by the policyholder at all, and you must know what you know.If you think that it doesn't matter which insurance company you choose to buy insurance, this kind of thinking is completely wrong.After all, an insurance company with good reputation and other aspects will be very timely for the policyholder's insurance compensation and maturity income.Therefore, before buying insurance, the policyholder must understand the basic situation of the company, such as the nature of the economy, registered capital, business development, claims, etc., so that they can truly know the bottom line.

[-]. Don’t buy insurance blindly, do shopping around
(End of this chapter)