Ask Mint | Insurers must send an annual report

Ask Mint | Insurers must send an annual report

Is there any policy where I can receive money during the tenure of the policy?

You can invest in a money-back plan. This is an anticipated endowment policy with the additional feature of receiving a benefit at regular intervals during the life of the policy. The risk cover continues to cover the entire sum assured, even though instalments have been paid. If one outlives the policy, the balance sum assured along with the accumulated bonus is given.

I have recently invested in a unit-linked insurance policy (Ulip); I want to know what information related to investments is provided by the insurer to the policyholder.

Insurers are obliged to send an annual report, covering the fund performance during the previous fiscal year. This should relate to the economic scenario and market developments as well as include a fund performance analysis, an analysis of the investment portfolio of the fund, the investment strategy followed and risk control measures adopted.

I am 26 years old, single and my take-home pay is Rs45,000 per month. I am working in an information technology company as a business analyst. I would like to know what kind of insurance policy I should opt for. Also, how much coverage should I go for?

The need for insurance varies from individual to individual. It is advisable to undergo a financial health check or consult a financial planning adviser to decide how much insurance cover you need.

At your age, it is advisable to buy an endowment or a pension plan—this is not only a good investment option, but will also provide you tax benefits.

Readers are welcome to write in with their queries to The questions will be answered by senior executives from leading insurance firms.

This week’s expert is Bert Paterson, managing director and CEO, Aviva India.